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CrimeNY sues insurance companies for breach of contract in sex abuse cases

17:36  02 july  2019
17:36  02 july  2019 Source:   lohud.com

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NEW YORK (ChurchMilitant.com) - The archdiocese of New York is suing their insurance providers after they refused to pay for the The archdiocese claims these insurance providers "intend to dispute, limit and/or deny coverage for claims and lawsuits alleging sexual abuse and physical abuse ."

The New York Archdiocese has filed a lawsuit against 32 of its insurers for not paying claims of abuse victims.

The archdiocese — which covers New York, Bronx, and Richmond counties along Westchester, Rockland and other Hudson Valley counties — filed suit in New York Supreme Court on behalf of other religious organizations, schools, hospitals and other institutions which might be impacted by the case.

NY sues insurance companies for breach of contract in sex abuse cases© Seth Wenig, AP The Archdiocese of New York is in the second phase of a special program to compensate victims of sexual abuse by Catholic priests.

The suit comes a little more than one month before the window allowing people to file civil cases involving sexual abuse against the archdiocese and other organizations. The cases are said to be worth tens of millions of dollars or more collectively, based on the number of expected suits to be filed in the one-year window starting Aug. 14.

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THE SUIT: NY Archdiocese sues 32 insurance companies for breach of contract in sex abuse cases . "When insurance companies wrongfully deny coverage for claims, victims suffer the consequences of delay and collateral litigation,” Goldenberg said.

A breach of contract usually occurs when a party fails to perform as promised In some cases , though, they are the only way to get what you are legally owed. The process may seem overwhelming, but with the right preparation, you can successfully sue someone for breach of contract .

Joseph Zwilling, spokesperson for the archdiocese, is already getting advanced warning from law firms.

"Due to the passage of the Child Victims Act, we anticipate that victim-survivors will exercise their right to commence a lawsuit for abuse alleged to have occurred years ago," Zwilling said. "In fact, the archdiocese has begun to receive notice of lawsuits that will be filed in August, when the law goes into effect."

Once that window opens, the archdiocese expects it could impact the religious groups and their ability to pay and operate.

"The resolution of such issues could significantly impact the ability of such organizations to continue their operations and, at the same time, provide meaningful compensation to sexual abuse survivors," reads the suit.

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What Types of Breaches of Contract are There? How Do I Get Damages for Breach of Contract ? Types of contract breaches include: Minor Breach : Sometimes called a partial breach , it means the party has substantially performed under the contract . Abuse (Child, Domestic, Sexual ).

NY sues insurance companies for breach of contract in sex Breach of contract examples of cases can include any scenario in which one or more parties that are legally bound to uphold the terms of a contractual agreement fail to meet their obligations.

The archdiocese said in its suit that it purchased liability insurance policies from the Insurers and paid premiums over the years. "The Insurers are obligated to provide coverage to the Archdiocese and other insureds under the liability policies for claims and lawsuits alleging sexual abuse and physical abuse," the suit contended.

Approximately 300 incorporated parishes and approximately 200 schools operate and provide services within this region, according to the archdiocese.

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Insurance Bad Faith Violations: when an insurance company contracts for a policy, they are bound by the Certain Cases Involving Tort/ Contract Crossover Issues: if, in a contractual setting, an independent tort is Choose the category that best fits your case . Abuse (Child, Domestic, Sexual ).

In this case , the breach of contract is considered immaterial since a minor detail of the contract is not going to affect its functionality. Jul 01, 2019 · New York Archdiocese sues 32 insurance companies for breach of contract in sex abuse cases Frank Esposito , Rockland/Westchester Journal News

The archdiocese's primary insurer, Chubb, recently denied its coverage in a recent sex abuse suit against it.

Now the archdiocese is gearing up for a fight in court.

"Rather than honor its contractual obligation under the insurance policies they issued, Chubb has advised the Archdiocese that it will not stand behind its insurance policies and contractual obligations," Zwilling said. "This leaves the Archdiocese with no choice but to commence a lawsuit to ask the court to order Chubb to stand behind their insurance policies."

As of April, 323 victim-survivors of abuse have participated in the Independent Reconciliation and Compensation Program set up by the archdiocese, and have received approximately $65 million in compensation, according to the suit.

"The Archdiocese of New York has filed suit seeking to hold insurance companies to the policies they issued, and for which it paid premiums," Zwilling said.

Chubb's spokesperson, Amy Whilldin declined to comment on the issue.

“Per company policy, we do not comment on pending litigation matters," Whildin wrote in an email.

Follow Frank Esposito on Twitter @FqEsposito.

This article originally appeared on Rockland/Westchester Journal News: NY sues insurance companies for breach of contract in sex abuse cases

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