Donaldson Lufkin & Jenrette Securities Corp. v. Star Technologies, Inc.

OPINION OF THE COURT

Edward H. Lehner, J.

This is a motion by plaintiffs for reargument of the decision of October 12, 1990 (148 Misc 2d 880) denying their request for *127summary judgment. On this application they contend that, although Federal public policy may preclude enforcement of an agreement between an issuer and an underwriter for indemnity with respect to liability for wrongful conduct under the securities laws, there "is no federal public policy against indemnification of an underwriter for defense costs”.

In support of this position, plaintiffs state that the rationale for "denying…