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NY UNIV v. CONT'L INS CO

87 N.Y.2d 308 (1995)

662 N.E.2d 763

639 N.Y.S.2d 283

New York University, Respondent, v. Continental Insurance Company et al., Appellants.

Court of Appeals of the State of New York.

Decided December 27, 1995.

Attorney(s) appearing for the Case

Hart & Hume, New York City (Mark S. Gamell, Lewis Stockman, Cecil Holland, Jr., and Steven H. Rittmaster of counsel), for appellants.

Robert P. Walton, New York City, S. Andrew Schaffer, Howard S. Sussman, Eugene R. Anderson, Robert M. Horkovich and Steven J. Dolmanisth for respondent.

Windels, Marx, Davies & Ives, New York City (Craig P. Murphy, Arthur E. Hoffmann, Jr., and Darrell M. Joseph of counsel), for American Council of Life Insurance and another, amici curiae.

Salans Hertzfeld & Heilbronn, New York City (Charles Platto of counsel), James Kimble, of the District of Columbia Bar, admitted pro hac vice, Richard Hefferan, of the Illinois Bar, admitted pro hac vice, and Rob Weldy, of the New Jersey Bar, admitted pro hac vice, for American Insurance Association and others, amici curiae.

Chief Judge KAYE and Judges TITONE, BELLACOSA, SMITH, LEVINE and CIPARICK concur.

SIMONS, J.

This appeal addresses the sufficiency of the complaint and the affirmative defenses contained in the pleadings in an action by an insured against its insurer who disclaimed coverage under a commercial crime insurance policy. The two principal issues are (1) whether the complaint states a cause of action for punitive damages under the standards set forth in Rocanova v Equitable Life Assur. Socy....

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