The opinion of the court was delivered by: Alvin K. Hellerstein, U.S.D.J.
The parties appeared before me on June 26, 2006 to address issues remaining in the instant litigation following my Opinion and Order of June 8, 2006. For the reasons stated on the record, and with reference to the attached Joint Submission, the various issues raised by the parties are decided as follows:
1. As to the Insured Parties' list:
a. The claim raised in Point 1 by the World Trade Center Properties for declaratory relief as to equitable obligations to defend under the Air Transportation Safety and System Stabilization Act, 49 U.S.C. § 40101, is denied.
b. The claims raised in Points 2 and 3 seeking reformation of binders and policies issued by Zurich and Zurich-led excess insurers are denied for the reasons stated in my Opinion and Order of June 8.
c. The claims raised in Points 4, 5, and 10 concerning whether the positions taken by Zurich regarding the issue of additional insureds merits sanctions and, if so, what the sanctions should be are referred to Magistrate Judge Katz.
d. Decision is deferred as to the various claims raised in Points 6, 8, and 9 concerning claims as to allocation and priority.
e. The claim raised by General Star National Insurance Company in Point 7 seeking a declaration that the World Trade Center Properties has no duty to provide a defense or indemnity to any other insured is denied.
f. The claims raised by Royal Insurance Company in Points 11 and 12 are denied.
2. As to the Zurich Tower Insurer Parties' list:
a. Decision is deferred as to the issues raised in Part I concerning the additional insured status of the Port Authority provided that the parties submit a joint stipulation setting forth the Port Authority's status and providing the sequence of payments to any plaintiff entitled by settlement or otherwise to receive payments no later than August 18, 2006. The stipulation can be subject to reservation of rights by the parties as to the order of payment. Should no agreement be reached by that time the parties should submit a briefing schedule in lieu of such joint stipulation.
b. Decision is deferred as to the scope of coverage issues raised in Parts II and III, and as to the allocation and priority issues raised in Part IV.
For the reasons stated on the record I also deny the Silverstein Entities' Motion for Certification pursuant to Rule 54(b) without prejudice to resubmission at a later date.
The parties shall appeal for a status conference on August 18, 2006.
UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF NEW YORK
IN RE SEPTEMBER 11TH LIABILITY INSURANCE ...