77 A.D.2d 582 | N.Y. App. Div. | 1980
In an action for a declaratory judgment, plaintiff appeals from a judgment of the Supreme Court, Westchester County, dated December 27, 1979, which, after a nonjury trial, declined to entertain jurisdiction and dismissed the complaint "without prejudice”. Judgment reversed, on the law, with costs, and it is declared that: "(1) Pursuant to Article II (paragraph [d]) of the agreement executed between the defendant International Business Machines Corporation (IBM) and the plaintiff’s predecessor in interest, on September 27, 1966, defendant is obligated to pay any judgment, except such judgments which are attributable to negligent manufacture, that may be entered against plaintiff, Grumman American Aviation Corporation (Grumman), arising out of the crash of a Gulfstream II aircraft N720Q on June 24, 1974; (2) Said Article II (paragraph [d]) does not obligate defendant to indemnify plaintiff for that loss or liability which is imposed upon plaintiff by virtue of the negligent manufacture of the Gulfstream II aircraft sold to defendant corporation, and (3) Said Article II (paragraph [d]) neither requires defendant to defend