Strauss Painting, Inc. v. Mt. Hawley Ins. Co.

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Strauss Painting, Inc./Creative Finishes, Ltd. contracted with the Metropolitan Opera Association, Inc. to perform work on the Met’s premises. At the time Strauss/Creative contracted with the Met, Strauss had in place a CGL policy issued by Mt. Hawley Insurance Company. Manuel Mayo, a Creative employee, was injured while working at the Met. Mayo sued the Met for negligence. The Met brought a third-party action against Strauss in the Mayo suit. Strauss then commenced this action against Mt. Hawley and the Met, seeking a declaration that Mt. Hawley was obligated to defend and indemnify it in the Met’s third-party action. The Met cross-claimed against Mt. Hawley seeking a declaration that it was an additional insured on Strauss’s CGL policy, thereby requiring Mt. Hawley to defend and indemnify it in the Mayo litigation. The lower courts concluded (1) Mt. Hawley was required to defend the Met in the Mayo lawsuit because the Met was an additional insured on Strauss’s CGL policy; and (2) Strauss’s notice of the accident to Mt. Hawley was untimely, and Mt. Hawley timely disclaimed coverage on that ground. The Court of Appeals modified the order of the Appellate Division by denying the Met’s motion for summary judgment on its first cross-claim, holding (1) the Met was not an additional insured on Strauss’s CGL policy with Mt. Hawley; and (2) Strauss’s notice to Mt. Hawley was untimely as a matter of law. View "Strauss Painting, Inc. v. Mt. Hawley Ins. Co." on Justia Law