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Congratulations to Al Galatan for a victory in the Appellate Division on April 24, 2019

April 24, 2019
By: Scahill Law Group PC

Congratulations to Al Galatan for a victory in the Appellate Division on April 24, 2019, in State Farm Fire & Cas. Co. v. McLaurin, 171 A.D.3d 1191, 2019 WL 1782034 (Second Department). The court reversed Judge John Rouse from Suffolk County. The Appellate Division held that insureds breached the policy conditions by settling the tort claim without State Farm's consent and therefore they could not recover SUM benefits for damages caused by the hit-and-run driver. The court stated "Here, McLaurin and Corbin failed to establish that the release issued in the Martinez action did not operate to prejudice the subrogation rights of State Farm (see Matter of Metlife Auto & Home v. Zampino, 65 A.D.3d at 1153, 886 N.Y.S.2d 697). Accordingly, the Supreme Court should have, upon reargument, adhered to the determination in the order dated May 4, 2016, granting the petition to permanently stay arbitration of the claim for uninsured motorist benefits. Read the decision here.

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