All material subject to strictly enforced copyright laws. © 2021 Insurance Insider is part of Euromoney Institutional Investor PLC.
Accessibility | Terms & Conditions | Privacy Policy | Modern Slavery Act | Cookies | Subscription Terms & Conditions

Ruling marks end of Silverstein WTC claims

World Trade Center leaseholder Larry Silverstein is not entitled to any of the subrogated claims money paid to insurers by airlines over the 9/11 attacks, a court ruled last week.

The property magnate sued insurers after they were awarded $1.2bn from airlines and airport security companies relating to the 2001 attacks, arguing that his firm was entitled to the proceeds.

The insurers, which include QBE and Lloyd's Syndicates 1212, 79 and 2791, filed the claim against the airlines in a subrogation suit following a $4.1bn settlement paid to Silverstein in 2007.

District Judge Alvin Hellerstein ruled that Silverstein's company, World Trade Center Properties, had been fully compensated by the insurance firms and had no right to any further settlement from subrogated litigation.

Silverstein had previously been awarded $2.8bn in a suit against the airlines and security companies.

In a separate hearing in July, Justice Hellerstein ruled that Silverstein could not seek any further damages from the airlines and security companies.

He ruled that the initial payment from insurers had offset the company's legal costs.

At last week's hearing in the US District court for the Southern District of New York, the judge said the principle established in the earlier case could also be applied to the suit against the airlines.

Silverstein has been embroiled in a number of legal battles since 9/11, with much of the initial dispute coverage centring on whether the attacks were classified as "one event or two", which differed depending upon the policy wordings used.

Silverstein - who attempted to claim $7bn from the many different insurers on the Willis-placed programme - finally settled for around $4.1bn.

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree