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Klinger v. Allstate Insurance Company

Appellate Division of the Supreme Court of New York, Second Department
Jan 31, 2000
268 A.D.2d 562 (N.Y. App. Div. 2000)

Opinion

Submitted December 9, 1999

January 31, 2000

In an action, inter alia, to recover damages for unfair claims settlement practices under 11 NYCRR 216.7, the plaintiff appeals from so much of an order of the Supreme Court, Queens County (D. Goldstein, J.), dated September 29, 1998, as granted those branches of the defendant's motion pursuant to CPLR 3211(a)(1) and (7) which were to dismiss the first, second, and fifth causes of action asserted in the amended complaint.

Jonathan Silver, Kew Gardens, N.Y., for appellant.

Sonnenschein Nath Rosenthal, New York, N.Y. (Helen B. Kim of counsel), for respondent.

CORNELIUS J. O'BRIEN, J.P., WILLIAM D. FRIEDMANN, ANITA R. FLORIO, HOWARD MILLER, JJ.


DECISION ORDER

ORDERED that the order is affirmed insofar as appealed from, with costs.

The plaintiff filed a claim for property damage under the collision damages portion of her automobile insurance policy issued by the defendant. Her claim, minus a $500 deductible, was paid by the defendant. Thereafter, the plaintiff commenced this action, inter alia, to recover the $500 deductible, and the defendant moved pursuant to CPLR 3211(a)(1) and (7) to dismiss the amended complaint on the ground that it fails to state a cause of action. The Supreme Court granted those branches of the defendant's motion which were to dismiss the first and second causes of action on the ground that no private right of action exists under 11 NYCRR 216.7 or Insurance Law § 2601. The Supreme Court also granted that branch of the defendant's motion which was to dismiss the fifth cause of action on the ground that no duty independent of the contractual obligation was imposed by 11 NYCRR 216.7 or Insurance Law § 2601. On appeal, the plaintiff contends that there is a private right of action under 11 NYCRR 216.7 which supported all three causes of action. We disagree.

Contrary to the plaintiff's contention, the first, second, and fifth causes of action allege unfair claims settlement practices under 11 NYCRR 216.7, which is promulgated under Insurance Law § 2601, and there is no private right of action for the violation thereof (see, Aetna Cas. Sur. Co. v. ITT Hartford Ins. Co., 249 A.D.2d 241 ; see also, Rocanova v. Equitable Life Assur. Soc. of U.S., 83 N.Y.2d 603 ; New York Univ. v. Continental Ins. Co., 87 N.Y.2d 308 ). Even assuming, as the plaintiff contends, that 11 NYCRR 216.7 was not promulgated under Insurance Law § 2601, but rather underInsurance Law § 3411, there is no private right of action thereunder. Insurance Law § 3411(n) contemplates enforcement of any statutory violations by way of administrative penalty. In such cases, there is no private right of action unless one is expressly authorized by the legislation. Here there is no such authorization (see, Rocanova v. Equitable Life Assur. Soc. of U.S., supra; Aetna Cas. Sur. Co. v. ITT Hartford Ins. Co., supra).

The plaintiff' s remaining contentions are without merit.

O'BRIEN, J.P., FRIEDMANN, FLORIO, and H. MILLER, JJ., concur.


Summaries of

Klinger v. Allstate Insurance Company

Appellate Division of the Supreme Court of New York, Second Department
Jan 31, 2000
268 A.D.2d 562 (N.Y. App. Div. 2000)
Case details for

Klinger v. Allstate Insurance Company

Case Details

Full title:JEANNE KLINGER, etc., appellant, v. ALLSTATE INSURANCE COMPANY, respondent

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

Date published: Jan 31, 2000

Citations

268 A.D.2d 562 (N.Y. App. Div. 2000)
702 N.Y.S.2d 853

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