Read the following excerpt from a US court opinion:
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costs of defense. A jury trial was held in June 1986 to determine the reasonable costs of defense and IFF was awarded $834,913. IFF now seeks to recover its legal costs in connection with defending the declaratory judgment action brought by CU. Discussion It is well settled, under New York law, that an insured may recover the reasonable legal expenses which it incurred in defense of a declaratory judgment action brought by the insurer to free itself from its obligation to defend; however, the expenses incurred in prosecuting claims against the insurer are not recoverable. See Mighty Midgets, Inc. v. Centennial Insurance Co., 47 N.Y.2d 12, 389 N.E.2d 1080, 416 N.Y.S.2d 559 (1979); Johnson v. General Mutual Insurance Co., 24 N.Y.2d 42, 298 N.Y.S.2d 937, 939, 246 N.E.2d 713, 715 (1969) ; Hurney v. Mattson, 59 A.D.2d 934, 399 N.Y.
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What is the most suitable continuation to the opinion? Your options are:
A. holding on summary judgment before the question of the insurers obligation to indemnify was decided that the insurer was liable for the costs of the insured in defending the declaratory judgment action because it breached its duty to defend
B. holding in a case where the insurer brought a declaratory judgment action and the insured filed a counterclaim that 60 of the costs were attributable to defending and 40 to prosecuting
C. holding that insured may recover legal fees incurred in defending itself in a declaratory judgment action brought by insurer but not for those incurred in prosecuting cross claims and counterclaims against insurers
D. holding that insured who brought third party action against insurer could recover costs incurred in defending insurers counterclaim for declaratory relief since the insureds posture in the counterclaim was that of a defendant
E. holding that insured could recover the costs of defending a declaratory judgment action brought by the injured party to compel the insurer to defend but could not recover the costs associated with prosecuting crossclaims against the insurer
Reply with [A, B, C, D, E] only.