Plaintiff is an insurance company that provided movants with a million dollar professional liability policy, covering June 6, 1999 to June 6, 2000. Movants are certified public accountants who acted as outside auditors for Novick Chemical Co. In November 1999, movants were sued in an underlying state action for professional malpractice by Defendants Novick Chemical Co., Inc., Edward Novick, and Roberta Novick (“Novick Defendants”). Novick Defendants alleged, inter alia, that movants inaccurately recorded their financial statements.
Movants request that the court dismiss the declaratory judgment complaint with prejudice. They further request that plaintiff be fined for failing to participate in discovery according to its obligations. Finally, they reques tthat plaintiff be ordered to pay all appropriate fees of movants associated with preparation of the numerous rescheduled depositions and the present motions. For the reasons that follow, we will grant the motion in part.
