Landlord’s Insurer Claims Wrongful Death Case Belongs to Another Carrier

The Dispute
At the center of this legal clash is Sofy’s Restaurant LLC, an Ecuadorian eatery located in Hackensack, New Jersey. The estate of Graciela Chippe, who tragically died after a fall at the restaurant in 2022, filed a wrongful death lawsuit, alleging negligent maintenance of the property. But the landlord, C.J. Lombardo Co., is also on the hook in this suit, thanks to the property lease.

Here’s where things get messy: Travelers insures C.J. Lombardo, while Cumberland insures Sofy’s Restaurant. Travelers argues that Cumberland’s policy requires it to defend the landlord since Sofy’s took over the lease from a previous tenant, Bohemia Restaurant, back in 2020. So why is Travelers defending the landlord? They want reimbursement from Cumberland for the costs they’ve already incurred.

A Battle of Policies
The Travelers-Cumberland dispute isn’t about whether someone should pay for the defense—it’s about who should. Travelers claims that their coverage is “excess” to Cumberland’s, meaning Cumberland should be primarily responsible. And according to the lease agreement and rider, Sofy’s Restaurant (and therefore Cumberland) is responsible for maintaining the property, including the area where Chippe tragically fell.