No-Fault Case Law
State Farm Mut. Auto. Ins. Co. v Equinox Physical Therapy, P.C. (2024 NY Slip Op 05193)
October 22, 2024
In this case, the court considered the failure of claimants to appear for scheduled examinations under oath (EUOs) as a critical factor, which vitiated the insurance policy held by the plaintiff, State Farm Mutual Automobile Insurance Company. The insurer provided evidence, including affidavits and deposition transcripts, demonstrating that notices for the EUOs were properly sent and that the claimants did not appear. The main issues decided included whether the plaintiff was required to meet the 15-day notice requirement for EUOs and whether the defendants raised a triable issue of fact regarding their need for further discovery. The court affirmed the summary judgment in favor of the plaintiff, holding that the policy was vitiated by the claimants' nonappearance, thereby relieving State Farm of the obligation to show timely denial of the claims.
Sakandar v American Tr. Ins. Co. (2024 NY Slip Op 04792)
October 2, 2024
The court considered the facts surrounding a motor vehicle accident in which the plaintiff, Iqbal Sakandar, sought no-fault benefits from his insurer, American Transit Insurance Company. The third amended complaint included claims for bad faith, violation of General Business Law § 349, and breach of contract regarding no-fault benefits. The main issues were whether the plaintiff could successfully allege these causes of action and if the defendant's motion to dismiss should be granted. The court ultimately held that the allegations of bad faith and the violation of General Business Law § 349 did not constitute valid claims, as they did not meet the required legal standards, and ruled that the breach of contract claim was barred because the plaintiff had assigned his right to benefits to a medical provider. As a result, the court reversed the prior decision and granted the defendant's motion to dismiss the contested causes of action.
Health E. Ambulatory Surgical Ctr. v Country-Wide Ins. Co. (2024 NY Slip Op 51346(U))
September 30, 2024
The court considered a no-fault insurance claim case where the plaintiff, Health East Ambulatory Surgical Center, alleged that the defendant, Country-Wide Insurance Company, failed to pay a claim totaling $19,646.13. The main issue was whether the plaintiff established that the claim was overdue, as the defendant had timely requested verification of the claim, which the plaintiff did not provide. The court noted that the trial consisted of minimal proceedings, lacking sworn testimony or evidence aside from references to prior admissions by the defendant. The court ultimately held that the plaintiff failed to demonstrate that the claim was not paid or denied within the required 30-day period, leading to the dismissal of the complaint and reversal of the previous judgment in favor of the plaintiff.
Health E. Ambulatory Surgical Ctr. v Country-Wide Ins. Co. (2024 NY Slip Op 51346(U))
September 30, 2024
In this first-party no-fault action, the court examined a case arising from a judgment rendered in favor of Health East Ambulatory Surgical Center after a nonjury trial, where the plaintiff was awarded $19,646.13. The key issue was whether the plaintiff had established that the defendant, Country-Wide Insurance Company, had overdue claims for the medical services provided. The court noted that the trial consisted of minimal proceedings with no sworn witnesses or evidence presented, relying solely on the defendant's prior admissions regarding the receipt of the claim. However, the court found that the defendant had timely requested verification, which was not provided by the plaintiff, thereby determining that the plaintiff failed to prove the claim was overdue as required by relevant regulations. Ultimately, the court reversed the judgment and dismissed the complaint, ruling that the evidence did not support the plaintiff's case.
GEICO Ins. Co. v Manage Transi Corp. (2024 NY Slip Op 51308(U))
September 13, 2024
The court considered several key facts in this case, including that GEICO Insurance Company filed a lawsuit against MV Contract Transportation Inc., Manage Transit Corp., and James J. Boynton due to a vehicle collision on October 6, 2017, which resulted in significant personal injury claims and property damage. MV Contract sought a default judgment against the codefendants, MTC and Boynton, who had not responded or appeared in the action. The main issues decided by the court revolved around whether MV Contract properly served the cross-claims to the defaulting parties and if they had a legal obligation to respond to those claims. Ultimately, the court held that MV Contract failed to effectuate proper service as required by law, and thus the motion for a default judgment was denied since the defaulting parties' obligation to respond was never triggered.
Matter of Government Empls. Ins. Co. v Bermeo (2024 NY Slip Op 04388)
September 11, 2024
In this case, the court considered the facts surrounding an incident in which Franklin Bermeo was struck by a vehicle identified as an e-bike while crossing an intersection in New York. Bermeo sought uninsured motorist benefits from his insurance provider, Government Employees Insurance Company, which denied the claim on the grounds that the e-bike did not qualify as a motor vehicle under the policy terms. The primary issues addressed included whether the vehicle involved constituted a motor vehicle as defined by the insurance policy and whether the petitioner had met the burden of proof necessary to justify a stay of arbitration. The court ultimately held that the evidence presented, including a police report stating that no motor vehicles were involved, supported the petitioner's claim and denied Bermeo’s request for arbitration for the uninsured motorist benefits. The court's decision adhered to its original ruling after reargument, thus affirming the permanent stay of arbitration.
ZZ Acupuncture, P.C. v Kemper Ins. Co. (2024 NY Slip Op 51205(U))
August 30, 2024
In this case, the court considered relevant facts concerning the timing of when the plaintiff, ZZ Acupuncture, P.C., filed for recovery of assigned first-party no-fault benefits and the corresponding denial of claims by the defendant, Kemper Insurance Company. The main issues addressed were whether the statute of limitations had expired for the causes of action due to overdue claims and whether the defendant properly established the timing of the denial of claims. The court held that the first and second causes of action were indeed barred by the statute of limitations, as these claims were filed after the six-year limit had elapsed. However, it determined that the third, fourth, fifth, and sixth causes of action were timely, given that they were filed within the appropriate timeframe, absent proof of any earlier denials from the defendant. The order was modified to grant the defendant’s motion to dismiss the first and second causes of action while affirming the remaining parts of the order.
ZZ Acupuncture, P.C. v Kemper Ins. Co. (2024 NY Slip Op 51205(U))
August 30, 2024
The court examined a case in which a medical provider sought to recover no-fault insurance benefits, asserting that the claims were filed timely despite the insurer’s argument that the statute of limitations had lapsed. The main issues centered around whether the claims became overdue and the appropriate calculation of the statute of limitations based on the timing of claimed denials by the insurance company. The court determined that the first and second causes of action had indeed expired, as the claims had become overdue more than six years before the lawsuit was initiated, based on the receipt date of the claims by the insurer. However, it ruled that the remaining causes of action were not barred by the statute of limitations, as they were timely filed and no evidence was presented that the insurance company issued earlier denials. Ultimately, the court modified the previous order to dismiss the first and second causes of action while affirming the continuation of the others.
Nasrinpay v National Gen. Ins. Co. (2024 NY Slip Op 51188(U))
August 13, 2024
The court considered several relevant facts, including the original accident date (September 28, 2017), the issuance of a declaratory judgment declaring the incident a "Staged Accident," and the subsequent default judgments against both the plaintiff and his assignor. The main issues decided involved the application of res judicata and collateral estoppel based on the prior default judgments obtained by "National General Insurance Online, Inc." and whether the defendant was the proper insurer. The court concluded that the default judgment from the earlier action did not have res judicata effect against the plaintiff since the defendant was not the party who obtained the prior judgment, and the plaintiff did not have a fair opportunity to litigate the issue. Furthermore, the court denied the plaintiff's motion for summary judgment due to his failure to demonstrate that the claim form had been received by the defendant, ultimately modifying the order to deny the defendant's cross-motion for summary judgment and affirming the denial of the plaintiff's motion.
LPM Pharm., Inc. v Nationwide Prop. & Cas. Ins. Co. (2024 NY Slip Op 51191(U))
August 13, 2024
In this case, the court considered the failure of the plaintiff’s assignor to appear for three scheduled examinations under oath (EUOs), specifically on May 17, 2019, June 17, 2019, and June 20, 2019. The main issues decided included whether the defendant had appropriately notified the assignor of the rescheduling of the EUO and whether the assignor's absence justified the denial of the no-fault claim. The court found that the assignor had requested to reschedule the June 17 EUO to June 20 and that sufficient oral notice of the new date, time, and location was provided. As a result, the court held that the defendant was entitled to summary judgment dismissing the complaint, as the assignor's failure to appear for the EUOs constituted a valid basis for denying the claim.