AVON GROUP INC v. NATIONAL UNION FIRE INSURANCE COMPANY OF PITTSBURGH PA

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Supreme Court, Appellate Division, First Department, New York.

AVON GROUP, INC., et al., Plaintiffs-Appellants, v. NATIONAL UNION FIRE INSURANCE COMPANY OF PITTSBURGH, PA., Defendant-Respondent.

Decided: January 28, 1997

Before NARDELLI, J.P., and RUBIN, MAZZARELLI and ANDRIAS, JJ. S. Herman Klarsfeld, for Plaintiffs-Appellants. Kevin F. Cavaliere, for Defendant-Respondent.

Order, Supreme Court, New York County (Herman Cahn, J.), entered November 24, 1995, which, in a declaratory judgment action concerning defendant insurer's duty to defend plaintiffs insureds in certain administrative proceedings brought by the Superintendent of Insurance, to represent plaintiffs in a related Federal court action they brought against the Superintendent of Insurance, and to indemnify plaintiffs for any judgment obtained by the Superintendent of Insurance against them as a result of their alleged wrongful conduct, granted defendant's motion, denied plaintiff's motion, and dismissed the complaint, unanimously modified, on the law, to declare that defendant has no such duty to defend, represent or indemnify, and otherwise affirmed, without costs.

 The license revocation, tax and penalty proceedings at issue do not fall within the coverage provisions of the professional liability errors and omissions policy issued by defendant.   Defendant's disclaimer on the basis of other policy provisions does not create coverage where it otherwise does not exist (see, Schiff Assocs. v. Flack, 51 N.Y.2d 692, 435 N.Y.S.2d 972, 417 N.E.2d 84).

MEMORANDUM DECISION.