BROOKS v. ZURICH-AMERICAN INSURANCE GROUP


300 A.D.2d 176 (2002)

753 N.Y.S.2d 454

STEVI BROOKS et al., Appellants, v. ZURICH-AMERICAN INSURANCE GROUP, Respondent, et al., Defendants.

Appellate Division of the Supreme Court of the State of New York, First Department.

Decided December 24, 2002.


Plaintiff Brooks is a garment designer and president of plaintiff Beverly Hills Design Studio (BHDS). BHDS used independent sewing contractors to manufacture the garments, which it then sold to retailers. Between 1987 and 1990, finished goods were shipped to the BHDS warehouse in Georgia, where BHDS quality control managers inspected, and if necessary rejected, finished garments. During this period, many garments were found to be substandard. In fact, on at least five separate...

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