Tavella v. Skanska USA, Inc.

28 Misc. 3d 885
CourtNew York Supreme Court
DecidedMay 27, 2010
StatusPublished

This text of 28 Misc. 3d 885 (Tavella v. Skanska USA, Inc.) is published on Counsel Stack Legal Research, covering New York Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Tavella v. Skanska USA, Inc., 28 Misc. 3d 885 (N.Y. Super. Ct. 2010).

Opinion

OPINION OF THE COURT

Wayne P. Saitta, J.

Third-party defendant, Koehler Masonry Corp. (hereinafter third-party defendant or Koehler), cross-moves for an order granting summary judgment dismissing the third-party complaint of defendants and third-party plaintiffs Hazen and Sawyer, P.C., Malcolm Pirnie, Inc., Hazen and Sawyer, EC./ Malcolm Pirnie, Inc., A Joint Venture (hereinafter Hazen and Sawyer), pursuant to CPLR 3212, and any and all cross claims and/or counterclaims.

Upon reading the notice of cross motion by Derek E. Barrett, Esq., dated October 16, 2009, together with the affirmation in support of Derek E. Barrett, Esq., dated October 16, 2009, and all exhibits annexed thereto; the affirmation in opposition to cross motion by Gail J. McNally, Esq., dated January 10, 2010; the reply affirmation by Derek E. Barrett, Esq., dated March 29, 2010; and after argument of counsel and due deliberation thereon, third-party defendant Koehler Masonry Corp.’s motion for summary judgment is granted for the reasons set forth below.

Facts

The relief sought by third-party defendant results from a personal injury action initiated by plaintiff Angelo Tavella. [887]*887Plaintiff claims he was injured on September 14, 2005 while he was employed by third-party defendant Koehler and working on a construction project at the Newtown Creek Water Pollution Control Plant in Brooklyn. The Newtown Creek Water Pollution Control Plant is owned by the City of New York (hereinafter the City or the Owner).

Hazen and Sawyer, a defendant in plaintiffs action, filed this third-party action on or about December 9, 2008 against the sole third-party defendant, Koehler, who was plaintiff’s employer. It is not in dispute that the plaintiff did not sustain a grave injury within the meaning of the Workers’ Compensation Law.

Hazen and Sawyer’s third-party action for contractual indemnification is based on the subcontract between Koehler and A.J. Pegno Construction Corp., Tully Construction Co., Inc., A.J. Pegno Construction Corp./Tully Construction Co., Inc., a Joint Venture (hereinafter Pegno/Tully).

Hazen and Sawyer was under contract with the City to provide all construction management services for the entire project, including resident engineering inspection.

Pegno/Tully was under contract with the City as a general structures prime contractor (hereinafter the principal contract) and subcontracted with Koehler, plaintiffs employer, to provide masoniy services.

Arguments

Koehler argues that since plaintiff did not sustain a grave injury, Hazen and Sawyer, a third party, is not entitled to seek relief against them pursuant to section 11 of the Workers’ Compensation Law. Koehler further argues that it did not expressly contract to indemnify Hazen and Sawyer, and therefore the third-party action against Koehler should be dismissed.

Koehler argues that it agreed to indemnify Pegno/Tully and the City only. It argues that the language in the subcontract which requires Koehler to assume the duties that Pegno/Tully assumed toward the owner in the principal contract was a general provision which related to the details of the work, and that the indemnification provision, which is found later in the subcontract, is specific and states that it applies only to the City and Pegno/Tully.

Hazen and Sawyer argues that it is entitled to indemnification from Koehler based on Koehler’s subcontract with Pegno/ [888]*888Tully. They argue that despite the fact that they are not named beneficiaries in the subcontract, Koehler assumed Pegno/Tully’s obligations under its contract with the City, including Pegno/ Tully’s obligation to indemnify other prime contractors such as Hazen and Sawyer. Hazen and Sawyer also argue that they are a third-party beneficiary of the subcontract between Pegno/ Tully and Koehler and thus can seek indemnification directly from Koehler.

Analysis

Since plaintiff did not suffer a grave injury, Koehler can only be liable for plaintiffs injury if Koehler contracted to indemnify a third party found liable for plaintiffs injuries.

In Rodrigues v N & S Bldg. Contrs., Inc. (5 NY3d 427, 431-432 [2005]), the Court of Appeals stated, “it is clear that, despite the Workers’ Compensation Law shield of employers from liability as joint tortfeasors, a third party may recover against an employer pursuant to contract” (citing Majewski v Broadalbin-Perth Cent. School Dist., 91 NY2d 577, 582 [1998]).

The contract, however, must comport with the Workers’ Compensation Law § 11 definition of a written contract, which requires that “the indemnification claim arise from an indemnification provision in a written contract entered into before the injury.” (Rodrigues v N & S Bldg. Contrs., Inc., 5 NY3d 427, 432-433 [2005].)

In Hooper Assoc. v AGS Computers (74 NY2d 487 [1989]), the Court of Appeals stated that

“[w]hen a party is under no legal duty to indemnify, a contract assuming that obligation must be strictly construed to avoid reading into it a duty which the parties did not intend to be assumed. The promise should not be found unless it can be clearly implied from the language and purpose of the entire agreement and the surrounding facts and circumstances” (at 491-492 [citations omitted], citing Levine v Shell Oil Co., 28 NY2d 205, 211 [1971]; Kurek v Port Chester Hous. Auth., 18 NY2d 450, 456 [1966]).

The statute requires the written indemnification provision to include an agreement to indemnify the person asserting the indemnification claim for the type of loss suffered. (Rodrigues v N&S Bldg. Contrs., Inc., 5 NY3d 427 [2005].)

The Prime Contract

The principal contract between Pegno/Tully and the City provided that if Pegno/Tully was liable because of the act of an[889]*889other contractor it would not claim against the City as owner, but could seek indemnification from the other contractor. It also provided that Pegno/Tully would indemnify both the City and any other contractors held liable for the acts of Pegno/Tully or its subcontractors. All of the prime contracts entered into by the City for the Newtown Creek project contained similar provisions.

The Prime NC-31G contract reads, in pertinent part,

“Should the contractor sustain any damage through any act or omission of any other Contractor having a Contract with the City for the performance of work upon the site, or of work which may be necessary to be performed for the proper execution of the work to be performed hereunder, or through any act or omission of a subcontractor of such Contract, the Contractor shall have no claim against the City for such damage, but shall have a right to recover such damage from the other Contractor under the provisions similar to the following provisions which have been or will be inserted in the Contracts with such other Contractors.

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Related

Majewski v. Broadalbin-Perth Central School District
696 N.E.2d 978 (New York Court of Appeals, 1998)
Rodrigues v. N & S Building Contractors, Inc.
839 N.E.2d 357 (New York Court of Appeals, 2005)
Broadway Maintenance Corp. v. Rutgers
447 A.2d 906 (Supreme Court of New Jersey, 1982)
J. Louis Crum Corp. v. Alfred Lindgren, Inc.
564 S.W.2d 544 (Missouri Court of Appeals, 1978)
Beveridge v. New York Elevated Railroad
19 N.E. 489 (New York Court of Appeals, 1889)
French v. . Vix
37 N.E. 612 (New York Court of Appeals, 1894)
Leary v. New York Central Railroad
212 A.D. 689 (Appellate Division of the Supreme Court of New York, 1925)
Kurek v. Port Chester Housing Authority
223 N.E.2d 25 (New York Court of Appeals, 1966)
Levine v. Shell Oil Co.
269 N.E.2d 799 (New York Court of Appeals, 1971)
Hooper Associates Ltd. v. AGS Computers, Inc.
548 N.E.2d 903 (New York Court of Appeals, 1989)
Snyder Plumbing & Heating Corp. v. Purcell
9 A.D.2d 505 (Appellate Division of the Supreme Court of New York, 1960)
MK West Street Co. v. Meridien Hotels, Inc.
184 A.D.2d 312 (Appellate Division of the Supreme Court of New York, 1992)
Weinbaum v. Algonquin Gas Transmission Co.
20 Misc. 2d 276 (New York Supreme Court, 1954)
KEC Corp. v. New York State Environmental Facilities Corp.
76 Misc. 2d 170 (New York Supreme Court, 1973)

Cite This Page — Counsel Stack

Bluebook (online)
28 Misc. 3d 885, Counsel Stack Legal Research, https://law.counselstack.com/opinion/tavella-v-skanska-usa-inc-nysupct-2010.