Opinion
Civil Action No. 00-2049, c/w 00-2450, 00-2850 and 00-3205, Section: I/2
May 29, 2002
ORDER AND REASONS
Defendant and cross-claimant, OXY USA INC. ("OXY"), has filed a motion for summary judgment against defendant-in-cross claim, Cardinal Services, Inc., seeking to recover costs of defense, indemnity, and insurance coverage, including oil spill response expenses, pursuant to a Blanket Time Charter Contract in effect when the D/L HANSON capsized on September 25, 1999. In its supplemental memorandum in support of its motion for summary judgment. OXY sought an additional sum for attorney's fees and expenses which were incurred subsequent to the filing of the initial motion for summary judgment. The total. amounts sought by OXY are:
1) Attorney's fees and expenses paid by OXY to Cotton, Bledsoe, Tighe and Dawson, and to Phelps, Dunbar: $210,395.36;
2) Attorney's fees and expenses of D.C. Panagitois, Ltd.: $42,037.09;
3) Reimbursement for costs of pollution spill response and limiting hazards to navigation paid by OXY: $39,363.00.
While Cardinal Services, Inc., does not dispute the entitlement of OXY to these sums or to the amounts, it did request that the Court recognize that it was an insured of Frontier Insurance Company and that a stay order had been issued by a state court with respect to the entry of default judgments against Frontier insureds. The Supreme Court of the State of New York issued a stay order, extended on March 25, 2002, which applies "to the entry of default judgments against Frontier policyholders from April 14, 2002, to August 12, 2002." The Supreme Court of the State of New York ordered that "all parties to lawsuits in which FRONTIER is obligated to defend a party be enjoined and restrained from moving for and/or entering default judgments until August 12, 2002." In this action, OXY is not seeking a default judgment against a Frontier insured. OXY has moved for summary judgment in a civil action which has been in litigation since July 11, 2000. The stay order, which concerns only the entry of default judgments, is inapplicable to this motion for summary judgment.
Exhibit A to OXY's Supplemental Memorandum in Support of Motion for Summary Judgment.
Exhibit A to OXY's Supplemental Memorandum in Support of Motion for Summary Judgment.
Upon review of the record, the motion and memoranda of counsel, and the law, the Court finds that, for the reasons stated in the memoranda in support of the motion, the motion of defendant, OXY, for summary judgment is well founded and that it should be granted. Accordingly,
IT IS ORDERED that the motion of OXY USA INC., for summary judgment against Cardinal Services, Inc., for defense costs and oil spill expenses is hereby GRANTED in the following amounts:
For attorney's fees and expenses paid by OXY to Cotton, Bledsoe, Tighe and Dawson, and Phelps, Dunbar, $210,395.36;
For attorney's fees and expenses of D.C. Panagitois, Ltd., $42,037.09;
For reimbursement of costs for pollution spill response and limiting hazards to navigation paid by OXY, $39,363.00.
Judgment shall be rendered in favor of defendant and cross-claimant, OXY USA INC., and against defendant in cross-claim, Cardinal Services, Inc., in these amounts, with interest from the date of entry of judgment.