Lissauer v. Fireman's Fund Insurance Companies

11-169-cv Lissauer v. Fireman’s Fund Insurance Companies UNITED STATES COURT OF APPEALS FOR THE SECOND CIRCUIT SUMMARY ORDER RULINGS BY SUMMARY ORDER DO NOT HAVE PRECEDENTIAL EFFECT. CITATION TO A SUMMARY ORDER FILED ON OR AFTER JANUARY 1, 2007, IS PERMITTED AND IS GOVERNED BY FEDERAL RULE OF APPELLATE PROCEDURE 32.1 AND THIS COURT’S LOCAL RULE 32.1.1. WHEN CITING A SUMMARY ORDER IN A DOCUMENT FILED WITH THIS COURT, A PARTY MUST CITE EITHER THE FEDERAL APPENDIX OR AN ELECTRONIC DATABASE (WITH THE NOTATION “SUMMARY ORDER”). A PARTY CITING A SUMMARY ORDER MUST SERVE A COPY OF IT ON ANY PARTY NOT REPRESENTED BY COUNSEL. 1 At a stated term of the United States Court of Appeals 2 for the Second Circuit, held at the Daniel Patrick Moynihan 3 United States Courthouse, 500 Pearl Street, in the City of 4 New York, on the 16th day of February, two thousand twelve. 5 6 PRESENT: RICHARD C. WESLEY, 7 SUSAN L. CARNEY, 8 Circuit Judges, 9 ROSLYNN R. MAUSKOPF,* 10 District Judge. 11 12 13 14 SHARON LISSAUER, 15 16 Plaintiff-Appellant, 17 18 -v.- 11-169-cv 19 20 FIREMAN’S FUND INSURANCE COMPANIES, 21 22 Defendant-Appellee. 23 24 25 26 FOR APPELLANT: ALAN C. MILSTEIN, Sherman, Silverstein, 27 Kohl, Rose & Podolsky, P.A., Moorestown, 28 N.J. 29 * Judge Roslynn R. Mauskopf, of the United States District Court for the Eastern District of New York, sitting by designation. 1 FOR APPELLEE: EVAN H. KRINICK (Stuart M. Bodoff, on the 2 brief), Rivkin Radler LLP, Uniondale, 3 N.Y. 4 5 Appeal from the United States District Court for the 6 Southern District of New York (Kaplan, J.). 7 8 UPON DUE CONSIDERATION, IT IS HEREBY ORDERED, ADJUDGED 9 AND DECREED that the judgment of the United States District 10 Court for the Southern District of New York be AFFIRMED. 11 Appellant appeals from a judgment of the United States 12 District Court for the Southern District of New York 13 (Kaplan, J.), which granted Appellee Fireman’s Fund 14 Insurance Companies’ motion for summary judgment. We assume 15 the parties’ familiarity with the underlying facts, the 16 procedural history, and the issues presented for review. 17 Appellant Sharon Lissauer invested with Bernard Madoff 18 Investment Securities for almost twenty years. When 19 Madoff’s Ponzi scheme unraveled in the fall of 2008, 20 Lissauer suffered significant losses. Lissauer sought 21 coverage for those losses under a homeowner’s insurance 22 policy issued to her by American Insurance Company, one of 23 the Fireman’s Fund Insurance Companies. The carrier denied 24 coverage, but offered and did pay the policy’s money sub- 25 limit of $2,000 for each of three policy years, totaling 26 $6,000, under a full reservation of rights. 2 1 Lissauer then sued in the United States District Court 2 for the Southern District of New York for, among other 3 things, a declaration that her Madoff losses were covered 4 under the policy. The district court granted the carrier’s 5 summary judgment motion, finding that even if Lissauer's 6 investments constituted personal property within the meaning 7 of the policy, coverage was unavailable because her property 8 did not suffer a “direct physical loss." Lissauer now 9 appeals the district court's grant of summary judgment to 10 the insurance company. 11 We review a district court’s grant of summary judgment 12 de novo and construe all evidence in the light most 13 favorable to the non-moving party. See Brod v. Omya, Inc., 14 653 F.3d 156, 164 (2d Cir. 2011). “Summary judgment is 15 appropriate only if the moving party shows that there are no 16 genuine issues of material fact and that the moving party is 17 entitled to judgment as a matter of law.” Miller v. Wolpoff 18 & Abramson, L.L.P., 321 F.3d 292, 300 (2d Cir. 2003). 19 We find no error in the district court’s grant of 20 summary judgment. Even assuming that Lissauer suffered the 21 loss of an intangible “account,” Lissauer cannot demonstrate 22 that the account suffered a “direct physical loss,” as 3 1 required for coverage under the policy. See 10A Couch on 2 Insurance § 148:46 (3d ed. 2011). 3 After a thorough review of the record, we find 4 Lissauer’s remaining arguments to be without merit. 5 For the foregoing reasons, the judgment of the district 6 court is hereby AFFIRMED. 7 8 FOR THE COURT: 9 Catherine O’Hagan Wolfe, Clerk 10 11 4