| Sirius Am. Ins. Co. v Vigo Constr. Corp. |
| 2008 NY Slip Op 01134 [48 AD3d 450] |
| February 5, 2008 |
| Appellate Division, Second Department |
| Sirius America Insurance Company et al.,Respondents-Appellants, v Vigo Construction Corp., Respondent-Appellant, Martin C.Gonzalez, Appellant-Respondent, et al., Defendants. |
—[*1] Brody, O'Connor & O'Connor, Northport, N.Y. (Scott A. Brody and Patricia A. O'Connor ofcounsel), for plaintiffs-respondents-appellants. Dollinger, Gonski & Grossman, Carle Place, N.Y. (Matthew Dollinger, Leslie A. Foodim,and Michael J. Spithogiannis of counsel), for defendant-respondent-appellant.
In an action for a judgment declaring that the plaintiff Sirius America Insurance Company isnot obligated to defend and indemnify the defendant Vigo Construction Corp. in an underlyingaction entitled Gonzalez v Vigo Construction Corp., pending in the Supreme Court,Queens County, under index No. 04/10349, the defendant Martin C. Gonzalez appeals, as limitedby his brief, from so much of an order of the Supreme Court, Queens County (Dorsa, J.), datedJune 27, 2006, as denied his cross motion for summary judgment, the plaintiffs cross-appealfrom so much of the same order as denied their motion for summary judgment declaring that theplaintiff Sirius America Insurance Company is not obligated to defend and indemnify thedefendant Vigo Construction Corp. in the underlying action, and the defendant VigoConstruction Corp. cross-appeals from the same order.
Ordered that the cross appeal of the defendant Vigo Construction Corp., is dismissed, as[*2]that defendant is not aggrieved by the order (seeCPLR 5511); and it is further,
Ordered that the order is reversed insofar as appealed from, on the law, and the cross motionof the defendant Martin C. Gonzalez for summary judgment is granted; and it is further,
Ordered that the order is affirmed insofar as cross-appealed from by the plaintiffs; and it isfurther,
Ordered that one bill of costs is awarded to the defendant Martin C. Gonzalez payable by therespondents-appellants appearing separately and filing separate briefs; and it is further,
Ordered that the matter is remitted to the Supreme Court, Queens County for the entry of ajudgment declaring that the plaintiff Sirius America Insurance Company is obligated to defendand indemnify the defendant Vigo Construction Corp., in an underlying action entitledGonzalez v Vigo Construction Corp., pending in the Supreme Court, Queens County,under index No. 04/10349.
Preliminarily, we note that the cross appeal of the defendant Vigo Construction Corp.(hereinafter Vigo), must be dismissed, because only an "aggrieved party" has standing to appeal(CPLR 5511). Vigo did not seek any relief in the Supreme Court, and the plaintiffs' motion forsummary judgment, which Vigo opposed, was denied (see Anspach v Miller Bluff's Constr.Corp., 280 AD2d 564 [2001]). Additionally, merely because the order appealed fromcontains language or reasoning that a party deems adverse to its interests does not furnish "a basisfor standing to take an appeal" (Castaldiv 39 Winfield Assoc., LLC, 22 AD3d 780, 781 [2005], quoting Pennsylvania Gen.Ins. Co. v Austin Powder Co., 68 NY2d 465, 472-473 [1986]).
Insurance Law § 3420 (d) requires an insurer to provide a written disclaimer "as soonas is reasonably possible." The reasonableness of any delay in providing such written disclaimeris measured from the time when the insurer "has sufficient knowledge of facts entitling it todisclaim, or knows that it will disclaim coverage" (First Fin. Ins. Co. v Jetco Contr. Corp., 1 NY3d 64, 66 [2003]). Theinsurer bears the burden of justifying any delay (id. at 69). In the instant case, Siriusrelied upon a disclaimer dated November 3, 2004 and sent 34 days after it knew or should haveknown of the basis for denying coverage. Since there was no explanation for that delay, the34-day delay in disclaiming coverage was unreasonable as a matter of law and thus ineffective(see Matter of Allstate Ins. Co. vSwinton, 27 AD3d 462 [2006]; Pawley Interior Contr., Inc. v Harleysville Ins. Cos., 11 AD3d 595[2004]; Moore v Ewing, 9 AD3d484 [2004]; cf. Farmbrew Realty Corp. v Tower Ins. Co. of N.Y., 289 AD2d 284[2001]; Brooklyn Hosp. Ctr. v Centennial Ins. Co., 258 AD2d 491 [1999]). Under thesecircumstances, the defendant Martin C. Gonzalez was entitled to judgment as a matter of law onthe issue of whether Sirius was required to defend and indemnify Vigo in an underlying actionentitled Gonzalez v Vigo Construction Corp., pending in the Supreme Court, QueensCounty, under index No. 04/10349. Since this is a declaratory judgment action, the matter mustbe remitted to the Supreme Court, Queens County for the entry of a judgment declaring thatSirius is obligated to defend and indemnify Vigo Construction Corp. in that action (see Lanzav Wagner, 11 NY2d 317, 334 [1962], appeal dismissed 371 US 74 [1962], certdenied, 371 US 901 [1962]). Ritter, J.P., Florio, McCarthy and Dickerson, JJ., concur.