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Ultimate Health Prods., Inc. v. Am. Transit Ins. Co.

Supreme Court, Appellate Term, Second Dept., 2, 11 & 13 Judicial Dist.
Jun 11, 2015
17 N.Y.S.3d 386 (N.Y. App. Div. 2015)

Opinion

No. 2013–2378 Q C.

06-11-2015

ULTIMATE HEALTH PRODUCTS, INC. as Assignee of Hiyomailys Lachapelle, Appellant, v. AMERICAN TRANSIT INS. CO., Respondent.


Opinion

Appeal from an order of the Civil Court of the City of New York, Queens County (Carmen R. Velasquez, J.), entered September 26, 2013. The order denied plaintiff's motion for summary judgment and granted defendant's cross motion for summary judgment dismissing the complaint.

ORDERED that the order is affirmed, with $25 costs.

In this action to recover assigned first-party no-fault benefits, plaintiff seeks to recover for supplies it provided to its assignor for injuries he had sustained in a motor vehicle accident on November 10, 2010. After this action had been commenced in the Civil Court, defendant instituted a declaratory judgment action in the Supreme Court, Bronx County, against plaintiff's assignor and various medical providers, including plaintiff herein. By order dated October 26, 2012, the Supreme Court granted the motion therein for a default judgment, which order stated, among other things, that “[t]his action was brought for a declaration that defendant Hiyomailys Lachapelle, (Lachapelle), and the medical provider[s] ... of Lachapelle are not entitled to no-fault coverage with a motor vehicle accident that occurred on November 10, 2010 ... [American Transit's] motion for default judgment against [Lachapelle and Ultimate Health Products, Inc.] ... is granted.”

In January 2012, plaintiff moved for summary judgment in the instant action, and defendant cross-moved for summary judgment dismissing the complaint on the ground that the October 26, 2012 Supreme Court order in the declaratory judgment action barred the instant action pursuant to the doctrines of res judicata and collateral estoppel. By order entered September 26, 2013, the Civil Court denied plaintiff's motion and granted defendant's cross motion.

Contrary to plaintiff's contention, the Civil Court correctly determined that the instant action is barred under the doctrine of res judicata by virtue of the October 26, 2012 Supreme Court order (see Ava Acupuncture, P.C. v. N.Y. Cent. Mut. Fire Ins. Co., 34 Misc.3d 149[A], 2012 N.Y. Slip Op 50233[U] [App Term, 2d, 11th & 13th Jud Dists 2012] ). To hold otherwise could result in a judgment in this action which would destroy or impair rights established by the order rendered by the Supreme Court in the declaratory judgment action (see Schuykill Fuel Corp. v. Nieberg Realty Corp., 250 N.Y. 304, 306–307 [1929] ; Ava Acupuncture, P.C. v. N.Y. Cent. Mut. Fire Ins. Co., 34 Misc.3d 149[A], 2012 N.Y. Slip Op 50233[U] ). Moreover, the Supreme Court's order is a conclusive final determination notwithstanding that it was entered on default, and res judicata applies to an order or judgment taken by default which has not been vacated (see Lazides v. P & G Enters., 58 A.D.3d 607 [2009] ; Matter of Allstate Ins. Co. v. Williams, 29 A.D.3d 688, 690 [2000] ; Matter of Eagle Ins. Co. v. Facey, 272 A.D.2d 399 [2000] ; Ava Acupuncture, P.C. v. N.Y. Cent. Mut. Fire Ins. Co., 34 Misc.3d 149[A], 2012 N.Y. Slip Op 50233[U] ). Plaintiff's remaining contentions lack merit or are unpreserved for appellate review.

Accordingly, the order is affirmed.

ALIOTTA, J.P., SOLOMON and ELLIOT, JJ., concur.


Summaries of

Ultimate Health Prods., Inc. v. Am. Transit Ins. Co.

Supreme Court, Appellate Term, Second Dept., 2, 11 & 13 Judicial Dist.
Jun 11, 2015
17 N.Y.S.3d 386 (N.Y. App. Div. 2015)
Case details for

Ultimate Health Prods., Inc. v. Am. Transit Ins. Co.

Case Details

Full title:ULTIMATE HEALTH PRODUCTS, INC. as Assignee of Hiyomailys Lachapelle…

Court:Supreme Court, Appellate Term, Second Dept., 2, 11 & 13 Judicial Dist.

Date published: Jun 11, 2015

Citations

17 N.Y.S.3d 386 (N.Y. App. Div. 2015)