White Mountain Cable Construction Corp. v. Transamerica Insurance Company, 137 N.H. 478

Summary

Plaintiff filed a motion for a declaratory judgment, which sought indemnification and defense from defendant under the terms of an insurance contract. In a separate action, another party sued plaintiff for indemnity. The trial court in that case granted default judgment against plaintiff. In plaintiff's case, the trial court granted summary judgment to plaintiff on the basis that the prior adjudication had determined the indemnification issue between plaintiff and defendant. On appeal, defendant contended that it had no duty to indemnify and that it was entitled to litigate the issue. The court held that defendant had a duty to indemnify plaintiff in the prior action. Since an indemnity contract existed between plaintiff and the prior litigant, defendant was bound to provide coverage for liability arising under the indemnity contract. Defendant also had notice of the prior action.