CCC Insurance Co., Ltd. v. The Brooklyn Hosp. Ctr.

Breach of Contract

CCC Insurance Co., Ltd. v. The Brooklyn Hosp. Ctr., No. 03 Civ. 3093 (TPG)
(S.D.N.Y. May 28, 2004)

The District Court for the Southern District of New
York held that an action by an insurance company against a hospital for failure
to settle its debts on a loan and for breach of a shareholders agreement
could be maintained even though the insurance company had not joined a third
party related to the insurance company in the action. The hospital claimed
that the third party was indispensable to resolution of the lawsuit. The court
disagreed, finding that the presence of the third party was not necessary to
determine the claims raised by the insurance company. The court further held
that the present case should not be stayed in deference to a state court action
brought by the hospital. The court found that the hospital’s state court claims
could be joined with the present action and that the state court action was
only in the very early stages of discovery.