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Matter of Atlantic Mutual Ins. Co. v. Shaw

Appellate Division of the Supreme Court of New York, Second Department
Dec 18, 1995
222 A.D.2d 581 (N.Y. App. Div. 1995)

Opinion

December 18, 1995

Appeal from the Supreme Court, Nassau County (Kutner, J.).


Ordered that the order is reversed, as a matter of discretion, with costs, the motion is granted, and the matter is remitted to the Supreme Court, Nassau County, for a hearing on the issue of whether or not there was physical contact between the vehicle insured by the petitioner and the alleged offending vehicle.

Physical contact is a condition precedent to an arbitration that is based on a so-called hit-and-run accident ( see, Insurance Law § 5217; Matter of Smith [Great Am. Ins. Co.], 29 N.Y.2d 116; Matter of Empire Mut. Ins. Co. [Zelin], 120 A.D.2d 365). When there is a genuine triable issue of fact with regard to whether the claimant's vehicle actually came into contact with the offending vehicle, the appropriate procedure is to stay the arbitration pending a hearing on that issue ( see, Matter of Empire Mut. Ins. Co. v Zelin, supra; Matter of Allstate Ins. Co. v Jacobs, 85 A.D.2d 542). The appellant's affidavit creates an issue of fact with regard to physical contact which must be resolved at a hearing ( see, Matter of Prudential Prop. Cas. Ins. Co. v Schwartz, 104 A.D.2d 557).

It is well settled that a party seeking to vacate a default judgment on the ground of excusable default ( see, CPLR 5015 [a] [1]) must establish both a meritorious claim and a reasonable excuse for the default ( see, Schiavetta v McKeon, 190 A.D.2d 724, 725). The appellant's affidavit establishes a meritorious claim. The appellant has also established a reasonable excuse for failing to respond to the petition. Since the petition sought a stay pending a hearing on the issue of physical contact and the appellant had no objection to a hearing on that issue, she did not oppose the petition. Bracken, J.P., O'Brien, Ritter, Friedmann and Goldstein, JJ., concur.


Summaries of

Matter of Atlantic Mutual Ins. Co. v. Shaw

Appellate Division of the Supreme Court of New York, Second Department
Dec 18, 1995
222 A.D.2d 581 (N.Y. App. Div. 1995)
Case details for

Matter of Atlantic Mutual Ins. Co. v. Shaw

Case Details

Full title:In the Matter of ATLANTIC MUTUAL INSURANCE COMPANY, Respondent, v. NEJHLA…

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

Date published: Dec 18, 1995

Citations

222 A.D.2d 581 (N.Y. App. Div. 1995)
635 N.Y.S.2d 297

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