In a September 20, 2010 decision by Justice Kapnick, plaintiffs had moved for an order declaring that their homeowners’ policies obligated the insurance carriers to reimburse for alternate housing and increased living expenses incurred by reason of their constructive eviction. The parties had resolved, in 2006, the dispute though a settlement agreement providing for reimbursement. The Agreement provided for a cap of $53,500 for additional living expenses for the loss. Plaintiffs now claim that defendants are liable for additional expenses since they renewed the polices in subsequent years with knowledge that the apartment remained uninhabitable. The Court rejected plaintiffs’ argument, concluding that the additional living expenses arose out of the 2006 loss, thus limited to the amount agreed to for that policy period. Plaintiffs’ motion was denied.
Granirer v. The Bakery, Inc., Sup Ct, NY County, Sept. 20, 2010, Kapnick, J., Index No. 109915/06.