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In re State Farm Mutual Ins. v. Bennett

Appellate Division of the Supreme Court of New York, Second Department
Dec 24, 2001
289 A.D.2d 496 (N.Y. App. Div. 2001)

Opinion

2001-06841

Submitted December 5, 2001.

December 24, 2001.

In a proceeding pursuant to CPLR 7503 to permanently stay arbitration of an underinsured motorist claim, the petitioner appeals from an order of the Supreme Court, Suffolk County (Werner, J.), dated June 22, 2001, which denied the petition and dismissed the proceeding.

Saretsky Katz Dranoff Glass, LLP, New York, N.Y. (Howard J. Newman and Patrick J. Dellay of counsel), for appellant.

Giorgio dePoto, Syosset, N.Y. (Robert M. dePoto of counsel), for respondent.

Before: CORNELIUS J. O'BRIEN, J.P., SONDRA MILLER, LEO F. McGINITY, ROBERT W. SCHMIDT, SANDRA L. TOWNES, JJ.


ORDERED that the order is reversed, on the law, with costs, the petition is granted, and arbitration is permanently stayed.

On September 14, 1995, the respondent was involved in the motor vehicle accident at issue. However, he did not notify his insurer, the petitioner, of his underinsured motorist claim until July 18, 1997, some 22 months later. We agree with the petitioner that the respondent did not give notice of his underinsured motorist claim "[a]s soon as practicable" as required by his policy. In interpreting that phrase "as soon as practicable" in the context of underinsured motorist coverage, the Court of Appeals has held that "the insured must give notice 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). Here, however, the respondent failed to demonstrate that he exercised due diligence in attempting to ascertain the tortfeasors' policy limits prior to May 27, 1997, when the respondent claims to have been made aware of those policy limits. Thus, the respondent did not give the petitioner notice of his underinsured motorist claim "as soon as practicable", and the petition should have been granted (see, Matter of Metropolitan Prop. Cas. Ins. Co. v. Mancuso, supra; Witterschein v. State Farm Ins. Co., 278 A.D.2d 317; Matter of Nationwide Mut. Ins. Co. v. Wexler, 276 A.D.2d 490; Matter of Eagle Ins. Co. v. Bernardine, 266 A.D.2d 543).

O'BRIEN, J.P., S. MILLER, McGINITY, SCHMIDT and TOWNES, JJ., concur.


Summaries of

In re State Farm Mutual Ins. v. Bennett

Appellate Division of the Supreme Court of New York, Second Department
Dec 24, 2001
289 A.D.2d 496 (N.Y. App. Div. 2001)
Case details for

In re State Farm Mutual Ins. v. Bennett

Case Details

Full title:IN THE MATTER OF STATE FARM MUTUAL AUTOMOBILE INSURANCE COMPANY…

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

Date published: Dec 24, 2001

Citations

289 A.D.2d 496 (N.Y. App. Div. 2001)
734 N.Y.S.2d 637

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