Federal Insurance v. PGG Realty, LLC

FINDINGS OF FACT AND CONCLUSIONS OF LAW

JED S. RAKOFF, District Judge.

In the early morning hours of February 6, 2006, the megayacht “Princess Gigi” capsized off the coast of the Bahamas. There was no loss of life, but the vessel was beyond salvage. The yacht was insured for $7,023,000.00 for the hull and $200,000.00 for certain personal property. On March 22, 2006, the yacht’s owner, PGG Realty, LLC (“PGG”), through its sole shareholder, Ben Ashkenazy, filed a Proof of Loss with the yacht’s insurer, Federal Insurance Company (“Federal”), asserting losses up to, and indeed, in excess of these…