Key Takeaway
Understanding how Florida law applies to New York no-fault insurance disputes. Expert legal analysis from Long Island insurance attorneys. Call (516) 750-0595.
Understanding Florida Choice of Law in New York No-Fault Insurance Cases: Lessons from Long Island
When dealing with complex insurance disputes across state lines, Long Island and New York City residents often find themselves navigating the intricate world of choice of law determinations. The intersection of Florida insurance law with New York no-fault requirements creates particularly challenging scenarios for both attorneys and claimants throughout Nassau County, Suffolk County, and the five boroughs of New York City.
The automotive insurance landscape in the greater New York metropolitan area is complicated enough without adding multi-state jurisdictional questions. However, as our region continues to see residents with ties to Florida—whether through seasonal residences, business interests, or family connections—these cross-jurisdictional insurance disputes are becoming increasingly common.
The Craigg Decision: A Landmark Choice of Law Case
Craigg v Infinity Select Ins. Co., 2013 NY Slip Op 23014 (App. Term 2d Dept. 2013)
Who would have thought that some of the most interesting choice of law cases would come from no-fault litigation at the Appellate Term? This is a wild one, not so much as to how the grouping of factor test came about but because of the outcome that the court reached when the grouping of factors was applied:
Case Background and Procedural History
Facts
“defendant, a Florida insurer, had issued letters rescinding plaintiff’s assignor’s insurance policy ab initio on the ground that material misrepresentations had been made during the application process; and that defendant had refunded the assignor’s premiums. The parties’ attorneys further stipulated to the admission into evidence of plaintiff’s claim form, defendant’s rescission letter, the policy application, and the insurance policy. Finally, the parties agreed that the sole issue for the Civil Court to decide was “whether or not Defendant has to establish the reason for rescinding its policy.” After trial, the Civil Court found for plaintiff, holding that New York law applied and that defendant was required, but failed, to present evidence in support of the underlying basis for its rescission of the policy. A judgment was subsequently entered, from which the appeal is deemed to have been take”
The Court’s Analysis and Conclusions
Conclusion of Law #1:
“Florida law applied since Florida had the most significant contacts with the contracting party and the contract”
Conclusion of Law #2:
Where, as here, an insurer is not seeking a judicial decree of rescission in the action, but, rather, is seeking to establish that the policy had, in fact, been retroactively rescinded to a time prior to the commencement of the action, the insurer must simply demonstrate that it complied with the [*2]Florida statute by giving the requisite notice of the rescission to the insured and that it returned or tendered all premiums paid within a reasonable time after the discovery of the grounds for avoiding the policy
Understanding Choice of Law in Multi-State Insurance Disputes
For Long Island and New York City residents, this case illustrates the critical importance of understanding how courts determine which state’s law applies when insurance policies cross state boundaries. The Craigg decision demonstrates that even when a case is litigated in New York courts, Florida law may govern the substantive legal issues.
Call (516) 750-0595 today for a consultation about your insurance dispute. Don’t let complex jurisdictional issues prevent you from getting the coverage and compensation you deserve.
Related Articles
- Pennsylvania Insurance Law in New York Courts: Navigating Choice of Law and the Innocent Third Party Doctrine
- Understanding New York No-Fault Insurance Claims and the Business Records Rule
- Understanding Choice of Law in Multi-State Personal Injury Cases
- When NY and NJ Insurance Laws Collide: Understanding Cross-State Claims
- A primer on Florida Law
