N.Y.-N.J. Port Authority, developer sue insurer for $1 billion
The Port Authority of New York and New Jersey and Larry Silverstein, developer of the World Trade Center, are suing England's Royal & Sun Alliance Insurance Group according to a Bloomberg News report.
The two are owners of the trade center site and are suing for $250 million in unpaid insurance claims from the Sept. 11, 2001 attacks as well as $750 million in punitive damages.
Silverstein obtained insurance for the trade center from Royal & Sun's U.S. subsidiary, Royal Indemnity, six weeks before the attack. The lawsuit was filed on Feb. 23 of this year. Less than two weeks later, Royal & Sun sold Royal Indemnity to Arrowpoint Capital LLC.
Silverstein said the $308 million sale of the subsidiary is an “attempt to evade liability and make a so-called 'clean exit' from its U.S. operations” according to the Bloomberg report.
N.Y.-N.J. Port Authority, developer sue insurer for $1 billion