Smurfit Newsprint Corp. v. Southeast Paper Manufacturing Co.

MANION, Circuit Judge.

Smurfit Newsprint Corporation (“Smur-fit”) appeals a grant of summary judgment to Southeast Paper Manufacturing Company, now known as SP Newsprint Company (“SP”). The district court held that the “no-prejudice” rule of New York insurance law should apply to the indemnification provisions of an asset purchase agreement, enabling SP to avoid a potential obligation to indemnify Smurfit. We conclude that, were the New York Court of Appeals presented with this question, it would not apply the rule. We, therefore, reverse the holding of the district court with respect to this…