EUO Bust Statement Best Practices: New York No-Fault Insurance Defense

Understanding EUO Bust Statements in New York Insurance Claims

In the complex world of New York insurance law, few procedural tools are as powerful—or as poorly understood—as the Examination Under Oath (EUO) bust statement. When handled correctly, these statements can serve as decisive evidence in no-fault insurance disputes. When mishandled, they can doom an otherwise strong case.

The case of Right Aid Med. Supply Corp. v Ameriprise Auto & Home, 2019 NY Slip Op 51270(U)(App. Term 2d Dept. 2019), provides a perfect illustration of how critical precision matters in EUO bust statements.

What Makes an EUO Bust Statement Legally Effective

EUO bust statements are the best evidence of a no-show for an examination under oath. Under New York law, they serve a dual purpose: they function as both business records and affidavits, giving them substantial evidentiary weight in court proceedings.

However, as the Right Aid case demonstrates, the practitioner who fails to properly articulate certain critical elements on the record will find their no-show case in jeopardy. The devil, as they say, is in the details.

The Critical Language Requirements

In Right Aid, the court noted a crucial distinction that proved fatal to the plaintiff’s case:

“Contrary to the finding of the Civil Court, the transcript of the second EUO does not state that the EUO, which was scheduled to commence at 10 a.m., ‘was commenced’ at 10:51 a.m. Rather it was at 10:51 a.m. that the attorney began putting his statement on the record, at which point he stated that he had been waiting approximately an hour for plaintiff to appear.”

This seemingly minor distinction—between when the EUO “commenced” versus when the attorney began making his statement—made all the difference in the case outcome.

Best Practices for EUO Bust Statements in New York

Timing and Documentation

When conducting an EUO that results in a no-show, practitioners must be meticulous about documenting timing. The record should clearly establish:

• The scheduled start time of the EUO
• The actual time the EUO was to commence
• How long the attorney waited before making the bust statement
• The specific time the bust statement was placed on the record

Essential Elements to Include

Every effective EUO bust statement should include specific language confirming:

• Proper notice was given to all parties
• The examination was scheduled to commence at a specific time
• The plaintiff or witness failed to appear
• Reasonable time was allowed for the appearance
• The circumstances of the no-show

Common Mistakes That Undermine EUO Bust Statements

Imprecise Language

The most common error, as illustrated in Right Aid, is using imprecise language about timing. Courts will scrutinize the exact wording of bust statements, and ambiguous language can be fatal to your case.

Inadequate Wait Time

Practitioners must demonstrate they waited a reasonable amount of time before declaring a no-show. What constitutes “reasonable” can vary, but documenting the wait time is essential.

Failure to Establish Proper Notice

The bust statement should reference that proper notice of the EUO was provided, including when and how notice was given.

Strategic Considerations for No-Fault Practitioners

Understanding the Insurance Defense Perspective

Insurance companies often rely on EUO requirements as a defense mechanism in no-fault claims. When a plaintiff fails to appear for a properly noticed EUO, it can provide grounds for claim denial or summary judgment.

For practitioners representing healthcare providers or patients in no-fault disputes, understanding how EUO bust statements work is crucial for both offensive and defensive strategies.

Building a Strong Record

The key to successful EUO practice lies in building an unassailable record. This means:

• Using precise, legally sufficient language
• Documenting all procedural requirements
• Creating clear timestamps for all events
• Ensuring proper notice procedures are followed

The Broader Impact on No-Fault Litigation

EUO bust statements represent just one piece of the complex puzzle that is New York no-fault insurance litigation. They intersect with other critical areas including:

Summary Judgment Practice

A properly executed EUO bust statement can be the foundation for a successful summary judgment motion, allowing insurers to dismiss claims without trial.

Discovery Disputes

EUO requirements often become entangled with broader discovery disputes, making proper documentation even more critical.

Procedural Due Process

Courts carefully balance the insurance industry’s need for information gathering against claimants’ due process rights, making precise EUO procedures essential.

Frequently Asked Questions

What happens if an EUO bust statement is technically deficient?

As the Right Aid case demonstrates, technical deficiencies in EUO bust statements can lead to the failure of an otherwise strong defense. Courts will not overlook imprecise language or procedural errors, even if the underlying facts support the insurance company’s position.

How long should an attorney wait before making a bust statement?

While there’s no bright-line rule, waiting approximately one hour (as in Right Aid) is often considered reasonable. However, the specific circumstances of each case may warrant different approaches. The key is documenting whatever wait time is chosen and ensuring it’s reasonable under the circumstances.

Can deficient EUO bust statements be corrected after the fact?

Generally, courts are reluctant to allow post-hoc corrections to EUO bust statements. The contemporaneous nature of these records is part of what gives them their evidentiary value. Prevention through careful preparation is far preferable to attempted correction.

What role do court reporters play in EUO bust statements?

Court reporters are essential for creating the official record of EUO proceedings. Their transcript becomes the definitive account of what occurred, making clear communication with the reporter about timing and procedures crucial.

Are there alternatives to traditional EUO bust statements?

While EUO bust statements remain the gold standard for documenting no-shows, practitioners should also consider supplementary evidence such as email confirmations, phone records, and witness affidavits to create the strongest possible record.

Protecting Your Clients’ Rights

Whether you represent healthcare providers, patients, or insurance companies, understanding EUO bust statement requirements is essential for protecting your clients’ interests in New York’s complex no-fault insurance system.

For healthcare providers facing claim denials based on alleged EUO violations, challenging the sufficiency of bust statements can be an effective defense strategy. For insurers seeking to enforce EUO requirements, meticulous attention to procedural details is essential.

The Right Aid case serves as a reminder that in no-fault insurance litigation, precision matters. Small procedural missteps can have large consequences, making experienced legal representation crucial for all parties involved.

If you’re dealing with EUO issues in a New York no-fault insurance dispute, don’t navigate these complex waters alone. Call 516-750-0595 for a free consultation with experienced attorneys who understand the intricacies of no-fault insurance law.

Related Articles

• Understanding EUO Requirements in New York No-Fault Insurance Cases
• How to Challenge EUO No-Show Denials: When Improper Notice Can Reverse Insurance Denials in New York
• Personal Knowledge Requirements for EUO Non-Appearances: NY Legal Standards
• EUO No-Show Consequences: What Happens When You Skip Your Examination Under Oath in New York
• New York No-Fault Insurance Law