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Brua Cab Corp. v. Royal Indemnity Co.

Appellate Division of the Supreme Court of New York, Second Department
Sep 25, 2000
275 A.D.2d 778 (N.Y. App. Div. 2000)

Opinion

Argued June 9, 2000

September 25, 2000.

In a proceeding pursuant to CPLR article 75 to vacate two arbitration awards, the petitioners appeal from an order of the Supreme Court, Queens County (Kassoff, J.), dated June 7, 1999, which denied the petition and confirmed the awards.

Eppinger, Reingold Korder, Larchmont, N.Y. (Ronald M. Eppinger of counsel), for appellants.

Arlene Zalayet, Mineola, N.Y. (Catherine Rizzo on the brief), for respondent.

Before: LAWRENCE J. BRACKEN, J.P., FRED T. SANTUCCI, LEO F. McGINITY, SANDRA J. FEUERSTEIN, JJ.


DECISION ORDER

ORDERED that the order is affirmed, with costs.

On September 4, 1990, an insured of the respondent, Royal Indemnity Company (hereinafter Royal), was involved in an automobile accident with a cab which was owned by the petitioner Brua Cab Corporation, and bonded by the petitioner Washington International Insurance Company. On July 12, 1993, Royal commenced an action to recover first-party no-fault benefits paid as a result of the accident. It is undisputed that rather than commencing an action, Royal was limited to compulsory arbitration to recover its claims (see, Insurance Law § 5105[b]). On November 21, 1996, Royal did in fact file its demands for arbitration of the claims. Ultimately, the arbitrator awarded Royal 95% of its claims.

Brua and Washington contend that the arbitrator misapplied the applicable three-year Statute of Limitations (CPLR 214), and should not have awarded Royal reimbursement for any payments made more then three years before the filing of the claims for arbitration. However, the arbitration claims related back to the inadvertent commencement of the action at law, which was timely (see, 11 NYCRR 65.10[d][5][i]; Matter of Motor Vehicle Acc. Indem. Corp. v. Aetna Cas. Sur. Co., 89 N.Y.2d 214, 221-222; Matter of Liberty Mut. Ins. Co. v. State Farm Mut. Auto. Ins. Co., 265 A.D.2d 412; Matter of Brinks, Inc. v. Commercial Union Ins. Co., 217 A.D.2d 620, 621). Therefore, the arbitrator's award will not be disturbed, as it was supported by the evidence and was not arbitrary or capricious (see, Matter of Motor Vehicle Acc. Indem. Corp. v. Aetna Cas. Sur. Co., supra).


Summaries of

Brua Cab Corp. v. Royal Indemnity Co.

Appellate Division of the Supreme Court of New York, Second Department
Sep 25, 2000
275 A.D.2d 778 (N.Y. App. Div. 2000)
Case details for

Brua Cab Corp. v. Royal Indemnity Co.

Case Details

Full title:IN THE MATTER OF BRUA CAB CORP., ET AL., APPELLANTS, v. ROYAL INDEMNITY…

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

Date published: Sep 25, 2000

Citations

275 A.D.2d 778 (N.Y. App. Div. 2000)
713 N.Y.S.2d 746

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