Surprisingly, the New York Court of Appeals has heard several appeals in the No-Fault Law context this Term. Next week, the Court will address another No-Fault appeal -- Fair Price Med. Supply Corp. v. Travelers Indem. Co. (Appellate Division, Second Department Decision and Order). The question presented on the appeal is whether an insurance carrier is precluded from interposing a defense in an action to recover assigned first-party no-fault benefits if it fails to pay or deny the claim within 30 days, where it has reason to believe that the claim fraudulently seeks reimbursement for medical supplies that were never delivered to the insured. The Second Department held that an insurer must do so because its proposed defense in this case is not based on a lack of insurance coverage.
For a good discussion of the Second Department Decision and Order, see No-Fault Paradise's post here.
NYCL will keep you abreast of developments in this case.
As it turns out, I will probably be heading over there to observe the arguments. Hope to see you there.
Posted by: David M. Gottlieb, Esq. | April 20, 2008 at 12:44 PM