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The Station fire
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Station property owner files own suit

In its suit, Triton Realty Limited Partnership, which owns the land and building that housed The Station nightclub, names as defendants five insurance companies and Michael and Jeffrey Derderian, the owners of the club.

04/24/2003

BY DAVID McPHERSON
Journal Staff Writer

PROVIDENCE -- The day after it was sued in federal court, the real estate partnership that owns The Station nightclub property filed its own lawsuit against the club's operators and five insurance companies.

Triton Realty Limited Partnership and its controlling partner filed suit in Superior Court yesterday asking that the insurers be required to live up to coverage obligations.

Read the suit filed by Triton Realty against the owners of the club.

The insurance companies named in the suit are Essex Mutual Insurance Co., Merchants Insurance Co., of New Hampshire, and the related Merchants Insurance Group; and CNA Insurance Co. and the related National Fire Insurance Co. of Hartford.

Also named in the suit are the club's owners, Jeffrey and Michael Derderian, and their business entity, Derco LLC.

Essex Mutual provided liability coverage under a policy taken out by the Derderians. Triton had been added as an insured party under that policy, according to the suit.

Triton also was covered by two policies of its own, obtained through Merchants as well as National Fire Insurance and CNA, which are related.

Triton's lawyer said the suit was filed to ensure that the partnership's legal costs are met as it defends against what is expected to be multiple lawsuits stemming from the Feb. 20 fire that killed 99 people and injured close to 200 others.

"We filed this in an effort to get the coverage we believe we're entitled to, nothing more, nothing less," said Daniel P. McKiernan, the Providence lawyer representing Triton.

McKiernan said he was forced to act by the first lawsuit stemming from the fire that named Triton as a defendant.

"Each such underwriter has to date refused to provide unconditional liability coverage to Triton Limited or Triton Inc. for claims arising out of the February 20, 2003 fire," the lawsuit states.

McKiernan said Merchants and CNA have paid for Triton to hire its own fire experts in connection with a recent examination of the site coordinated by civil lawyers representing fire victims and their families.

On Tuesday, two people injured in the fire and a woman whose husband died at The Station filed a suit in U.S. District Court against 24 named defendants and up to 100 John Does -- defendants not yet identified.

The named defendants included Triton Realty, which, the suits asserts knew, or should have known, that "The Station contained defects in construction and further failed to comply with reasonable safety standards with knowledge that the public assembled on said property."

Triton Realty owned the land and building at 211 Cowesett Ave., West Warwick, in which The Station was operated by club owners Jeffrey and Michael Derderian. Triton had leased the property to Derco LLC, which was controlled by the Derderians, since March 1, 2000, according to the lawsuit.

The Derderians paid Triton $4,000 a month to lease the property, according to a West Warwick liquor license application.

Triton Realty is controlled by Mary Jo Carolan, of Lincoln. She is president of a separate entity, Triton Inc., that is the general partner in control of Triton Realty Limited Partnership and also is a plaintiff in the suit filed yesterday.

Carolan's father, Raymond Villanova, of Lincoln, is a limited partner in the partnership.

Last night, McKiernan said he believes the federal suit filed Tuesday will be just the first of many lawsuits filed against Triton.

"Even though Triton was in compliance with the law, there appears to be tremendous pressure to name us as a defendant, and it's impossible for us to know at this point how expensive the litigation process is going to be," McKiernan said.

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