Criteria for Common-Law Indemnification Explained
In upholding Supreme Court’s determination that a cause of action for common-law indemnification should not be dismissed, the Third Department explained:
Common-law indemnification …is a quasi-contract claim in which a contract is implied in law in order to avoid unjust enrichment, accomplished by shifting a loss by “placing the obligation where in equity it belongs” ….. Common-law indemnification avoids unfairness and unjust enrichment by “recogniz[ing] that [a] person who, in whole or in part, has discharged a duty which is owed by him but which as between himself and another should have been discharged by the other, is entitled to indemnity” … It “requires a showing that [the] plaintiff and [the] defendant[] owed a duty to third parties, and that [the] plaintiff discharged the duty which, as between [the] plaintiff and [the] defendant[], should have been discharged by [the] defendant[]” … .Murray Bresky Consultants, Ltd v New York Compensation Manager’s Inc, 515591, 3rd Dept, 5-9-13