NORTHVILLE INDUS v. NATL INS


89 N.Y.2d 621 (1997)

679 N.E.2d 1044

657 N.Y.S.2d 564

Northville Industries Corporation, Appellant, v. National Union Fire Insurance Company of Pittsburgh, Pa., et al., Respondents, et al., Defendants.

Court of Appeals of the State of New York.

Decided March 25, 1997.


Attorney(s) appearing for the Case

Paul, Weiss, Rifkind, Wharton & Garrison, New York City (Martin London, Maria T. Vullo and Michael P. Bowen of counsel), for appellant.

Simpson Thacher & Bartlett, New York City (Barry R. Ostrager and David Woll of counsel), and Cozen and O'Connor (Sheldon Karasik and Peter M. Papasavas of counsel), for National Union Fire Insurance Company of Pittsburgh, Pa., respondent.

Melito & Adolfsen, P. C., New York City (Ignatius John Melito and John Volpe of counsel), for Hartford Accident and Indemnity Company, respondent.

Wilson, Elser, Moskowitz, Edelman & Dicker, New York City (Richard S. Oelsner and Sari B. Axelrod of counsel), for Continental Insurance Company and another, respondents.

Mendes & Mount, L. L. P., New York City (Mary Ann D'Amato and George L. Maniatis of counsel), and Phelps, Dunbar, L.L.P. (Richard N. Dicharry and Stephen P. Hall, of the Louisiana Bar, admitted pro hac vice, of counsel), for London Market Insurers, respondent.

Kirkpatrick & Lockhart, L. L. P., New York City (John J. Sullivan; Peter J. Kalis and Kerrin M. McCormick, of the Pennsylvania Bar, admitted pro hac vice, of counsel), and Covington & Burling (William F. Greaney, of the District of Columbia Bar, admitted pro hac vice, of counsel), for Aluminum Company of America and others, amici curiae.

Dennis C. Vacco, Attorney-General, Albany (Barbara G. Billet, Peter H. Schiff and Peter G. Crary of counsel), for State of New York, amicus curiae.

O'Melveny & Myers, L. L. P., New York City (John L. Altieri, Jr., and Thomas J. DiResta of counsel), and Wiley, Rein & Fielding (Laura A. Foggan, Daniel E. Troy and Treg A. Julander, of the District of Columbia Bar, admitted pro hac vice, of counsel), for Insurance Environmental Litigation Association, amicus curiae.

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


LEVINE, J.

Plaintiff is a Long Island-based corporation engaged in the bulk storage, distribution and sale of gasoline and other petroleum products. During the pertinent period, it owned and operated petroleum storage and distribution facilities in Holtsville and East Setauket, New York. Both terminals contained aboveground and belowground storage tanks, and networks of

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