4 NYP Ventures LLC v. Factory Mutual Insurance Co.

OPINION & ORDER

HONORABLE PAUL A. CROTTY, United States District Judge

In May 2012, Defendant Factory Mutual Insurance Company (“FM”) sold Plaintiff 4 NYP Ventures LLC (“4 NYP”) a $500 million all-risk insurance policy in conjunction with 4 NYP’s acquisition of an office building at 4 New York Plaza in lower Manhattan. Since the property was in a flood-prone location, the parties agreed to a $20 million limit on losses related to “Flood” damage, with an expansive definition of what constitutes a “Flood.”

On October 29, 2012, Hurricane Sandy struck New York City, causing substantial damage to the…