Thursday, October 27, 2011

Landlord Not Entitled To Summary Judgment On "Ambiguous" Contractual Indemnity Provision

In Lopez v. Guei Shun Shiau, the First Department affirmed a denial of summary judgment on the issue of contractual indemnity between the defendant as third-party plaintiff and the third-party defendant Sheba Ethiopian Restaurant, Inc. Defendant Guei Shun Shiau is an out of possession landlord in this negligence slip and fall on an uneven sidewalk. While Shiau argued that it was entitled to contractual indemnity, the court found that the contractual indemnity provision contained in the parties' lease agreement was “ambiguous” and the intention to indemnify was not "unmistakable." Therefore, summary judgment was not appropriate.

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