Summary
In Eckart, it appears that the possibility of a trial de novo was limited to situations in which common-law arbitration was employed.
Summary of this case from Allstate Insurance Company v. Ben-AriOpinion
October 3, 1994
Appeal from the Supreme Court, Suffolk County (Luciano, J.).
Ordered that the order is affirmed insofar as appealed from, with costs.
The subject insurance policy contains a provision permitting either party to demand a trial de novo where, as here, the amount of the arbitration award exceeds the limit specified by the financial responsibility law. However, we find that the right to make such a demand is linked, by the terms of the insurance contract, to the procedures governing common law arbitration proceedings. In this case, the parties proceeded to arbitration in accordance with the rules applicable to the American Arbitration Association, and not in accordance with the policy provisions. Under the circumstances, we conclude that the appellant was not entitled to invoke the trial de novo provision of the policy (cf., Matter of General Acc. Ins. Co. [Giacomazzo], 204 A.D.2d 236). Accordingly, the court properly denied its cross motion to vacate the award. Thompson, J.P., Rosenblatt, Ritter, Friedmann and Krausman, JJ., concur.