Wilson v. Sirius America Insurance
Stephen Wilson, a foreman for a plumbing subcontractor, was injured at a construction site and, along with his wife, sued the general contractor, K.J. Gold, LLC, for Labor Law violations. K.J. Gold's insurer, Sirius America Insurance Company, disclaimed coverage based on an exclusion requiring a prior written indemnification contract between K.J. Gold and the subcontractor, which was absent. After K.J. Gold defaulted in the underlying action, the Wilsons commenced a new action against Sirius America to recover the unsatisfied judgment. The Supreme Court initially granted summary judgment to the Wilsons, deeming the exclusion void under General Obligations Law § 5-322.1. However, the appellate court reversed, holding that the insurance exclusion itself did not violate General Obligations Law § 5-322.1, and since K.J. Gold never met the policy's condition of obtaining a written indemnification agreement, Sirius America was entitled to summary judgment dismissing the complaint.