13
Feb
2014

NY High Court Says Deadline Unenforceable In Coverage Suit

Law360

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Law360, New York (February 13, 2014, 3:36 PM ET) -- New York's highest court held Thursday that a normally reasonable requirement that policyholders bring coverage suits within two years had transformed into an unenforceable provision because it made coverage “valueless,” siding with the owner of an office building that suffered more than $1 million in fire damage.
"Insurance companies display endless ingenuity in finding ways to use suit limitation clauses, as well as other policy provisions, to attempt to deny coverage for claims clearly within the coverage grant," said William Passannante, an Anderson Kill PC attorney who filed an amicus brief for United Policyholders. " The New York Court of Appeals has rightly rejected a wrongful attempt at 'nullification' of a covered claim."

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