Opinion
December 7, 1998
Appeal from the Supreme Court, Westchester County (Donovan, J.).
Ordered that the order and judgment is reversed, with costs, that branch of the plaintiffs' motion which was for reargument is denied, and the order and judgment entered April 4, 1997, is reinstated.
The defendant Hermitage Insurance Company (hereinafter Hermitage) issued an insurance policy to the plaintiff Greenburgh/North Castle Union Free School District (hereinafter the School District) in which the School District was the named insured and St. Christopher's — Jennie Clarkson Child Care Services, Inc. (hereinafter Clarkson) was an additional insured. The policy contained a provision which stated that its exclusions were not applicable if the insured's liability arose under an "insured contract". Despite the School District's assertion to the contrary, the lease between it and Clarkson does not constitute an "insured contract". Therefore, Hermitage is not obligated to defend and indemnify the School District in the third-party action brought by Clarkson against the School District in the underlying personal injury action ( see, Continental Cas. Co. v. Rapid-American Corp., 80 N.Y.2d 640, 652).
In light of our holding, Hermitage's remaining contentions need not be addressed.
Rosenblatt, J. P., Ritter, Copertino and McGinity, JJ., concur.