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In re Arbitration, State Farm Tremaine [4th Dept 2000

Appellate Division of the Supreme Court of New York, Fourth Department
Mar 29, 2000
270 A.D.2d 962 (N.Y. App. Div. 2000)

Opinion

March 29, 2000.

Appeal from Order of Supreme Court, Onondaga County, Major, J. — Arbitration.

PRESENT: PINE, J. P., WISNER, HURLBUTT, KEHOE AND LAWTON, JJ.


Order unanimously reversed on the law without costs and application granted.

Memorandum:

Respondent, a passenger in a motor vehicle owned by the State of New York (State), was involved in an accident on July 11, 1994. She served notice of an underinsurance claim on petitioner, her insurer, 2+ years later, in December 1996. Respondent thereafter filed an uninsured claim under the State insurance policy and, after settling with the State for its policy limit, served a demand for arbitration of her underinsurance claim on petitioner. Supreme Court erred in denying the application to stay arbitration. Respondent's insurance policy required that she provide notice of an underinsurance claim "[a]s soon as practicable", which the Court of Appeals has defined in the underinsurance context as "with reasonable promptness after the insured knew or should reasonably have known that the tortfeasor was underinsured" ( Matter of Metropolitan Prop. Cas. Ins. Co. v. Mancuso, 93 N.Y.2d 487, 495). Delay in giving notice may be excused, but "the burden of establishing a reasonable excuse for the delay is upon the insured" ( Matter of Travelers Ins. Co. [DeLosh], 249 A.D.2d 924, 925). Here, respondent offered no excuse for the 2+-year delay after the accident, and we conclude that the unexplained delay of 2+ years was unreasonable as a matter of law ( see, Matter of Travelers Ins. Co. [DeLosh], supra; see also, Unwin v. New York Cent. Mut. Fire Ins. Co., ___ A.D.2d ___ [decided Jan. 6, 2000]).


Summaries of

In re Arbitration, State Farm Tremaine [4th Dept 2000

Appellate Division of the Supreme Court of New York, Fourth Department
Mar 29, 2000
270 A.D.2d 962 (N.Y. App. Div. 2000)
Case details for

In re Arbitration, State Farm Tremaine [4th Dept 2000

Case Details

Full title:MATTER OF THE ARBITRATION BETWEEN STATE FARM MUTUAL AUTOMOBILE INSURANCE…

Court:Appellate Division of the Supreme Court of New York, Fourth Department

Date published: Mar 29, 2000

Citations

270 A.D.2d 962 (N.Y. App. Div. 2000)
705 N.Y.S.2d 477

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