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NEW YORK CITY-World Trade Center leaseholder and developer Silverstein Properties and the Port Authority of New York and New Jersey, which owns the site, have filed suit against a group of insurers. The parties earlier this year agreed to a conceptual framework for the site want to expedite the process of getting insurance proceeds to go toward the rebuilding process. The action was filed against in the Supreme Court of the State of New York, New York County, against seven of the insurance companies participating in property damage coverage applicable to the events of Sept. 11.

“The States of New York and New Jersey, the City of New York and the Port Authority have made it clear that they will not allow foot-dragging insurance companies to impede the ongoing revitalization of downtown Manhattan,” says Larry A. Silverstein. “We expect a quick resolution that will force these insurers to finally pay what they owe.”

Representatives from the Port Authority and Silverstein Properties have said the insurers have “refused to provide assurance that the insurance recovery will not be impacted by the conceptual framework,” according to the Port Authority. The complaint seeks a declaration that the framework does not impact the insureds’ rights to recover fully all amounts currently due and to be paid in the future by the insurers. The insurers did not comment on the suit.

According to the complaint, the framework was “agreed to in order to ensure the prompt and complete redevelopment of the World Trade Center.” It goes on to claim that the “realignment of interests…can have no affect on the defendants’ obligations.” The complaint asks for a prompt hearing on the matter so that the matter can be resolved by Sept. 20.

In December 2004, a jury ruled that the WTC attacks were two events for insurance purposes. Silverstein called the decision a “win for all New Yorkers” and says it will “help make Lower Manhattan whole again.” Later it was determined the amount of the insurance proceeds would be approximately $4.6 billion. Work began on the WTC rebuild on June 6.

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