A05570 Summary:

BILL NOA05570
 
SAME ASSAME AS S05531
 
SPONSORTitone
 
COSPNSRSkoufis, Jaffee, Rosenthal, Santabarbara, Paulin, Zebrowski, Moya, Brook-Krasny, Cusick, Goldfeder, Rozic, Borelli, Millman, Englebright, Saladino, Curran, Graf, Skartados, Steck, Roberts, Cook, Lavine, Miller, Scarborough, Wright, Abinanti, Weprin, Malliotakis, Titus
 
MLTSPNSRAbbate, Brennan, Galef, Gottfried, Hennessey, Hevesi, Hikind, Magee, Perry, Rivera, Robinson, Sweeney, Weinstein, Weisenberg
 
Add RR3410, 3411 & 3412, amd R3403, CPLR
 
Relates to expediting actions involving insurance claims for damages resulting from a state disaster emergency.
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A05570 Actions:

BILL NOA05570
 
02/28/2013referred to judiciary
04/16/2013reported referred to codes
04/23/2013reported
04/25/2013advanced to third reading cal.219
06/04/2013passed assembly
06/04/2013delivered to senate
06/04/2013REFERRED TO JUDICIARY
01/08/2014DIED IN SENATE
01/08/2014RETURNED TO ASSEMBLY
01/08/2014ordered to third reading cal.263
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A05570 Memo:

NEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A5570
 
SPONSOR: Titone
  TITLE OF BILL: An act to amend the civil practice law and rules, in relation to expediting actions involving insurance claims for damages resulting from a state disaster emergency   PURPOSE OR GENERAL IDEA OF BILL: To allow property damage-related litigation in State Disaster Emergency declared counties to proceed in an expedited manner.   SUMMARY OF SPECIFIC PROVISIONS: Section 1 would add new rules 3410, 3411, and 3412 to the civil practice law and rules, and create a mandatory expedited preliminary conference for property damage claims against insurers for damages sustained by insureds in counties where a State Disaster Emergency has declared by the Governor pursuant to Executive Law Section 29-a. Section 2 would amend rule 3403 (a) of the civil practice law and rules to allow such litigation to be granted a special trial preference, thus expediting ultimate resolution of same. Section 3 states that this act shall take effect immediately.   EFFECTS OF PRESENT LAW WHICH THIS BILL WOULD ALTER: This bill would allow claims against insurers resulting from property sustained, where the Governor has declared a State Disaster Emergency, to be advanced and expedited.   JUSTIFICATION: Where many insurers have dealt with the victims of property damage losses sustained as the result of State Disaster Emer- gencies, i.e. most recently Storm Sandy, in a responsible and timely manner, some insurers have not. This has resulted in litigation by property owners, i.e. homeowners, to enforce their rights under contracts of insurance. Many of these property owner insureds have sustained utter financial ruin due to severe property damage losses, and this bill seeks to allow for a swift and certain resolution of their claims against their insurers in Court. For example, there is no reason why an individuals who has lost their home and all of their belongings due to Storm Sandy to have to wait years for their claims against their insurer to be adjudicated in Court. This bill requires that upon institution of an action by an insured against an insurer for damages related to a State Disaster Emergency as declared by the Governor, the Court shall hold a preliminary conference within thirty days after the request for judicial intervention is filed. In addition, this bill requires that ail parties shall appear for preliminary conference by a person fully authorized to dispose of the case. it is hoped that requiring same will permit many of such actions to be resolved without the need for further proceedings. For actions which cannot be resolved at the preliminary conference, the bill requires that discovery be completed within 60 days of the holding of the conference, absent good cause shown. Finally, this bill allows for these types of actions to be given a special trial preference, and be tried in advance of most other types of litigation. An expedited discovery schedule and a special trial preference represent a recognition that property owners who have all too often lost all of the possessions due to natural disaster, as declared by the Governor, should have the ability to obtain prompt and swift adjudication of their claims against any insurers who would ostensibly be contractually responsible to them.   PRIOR LEGISLATIVE HISTORY: New bill.   FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS: No negative effects anticipated. If contractual claims against insurers are resolved in a more timely manner, there may be some positive effects upon State and Local government disaster-related expenditures.   EFFECTIVE DATE: Immediately.
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A05570 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          5570
 
                               2013-2014 Regular Sessions
 
                   IN ASSEMBLY
 
                                    February 28, 2013
                                       ___________
 
        Introduced by M. of A. TITONE -- read once and referred to the Committee
          on Judiciary
 
        AN  ACT  to amend the civil practice law and rules, in relation to expe-
          diting actions involving insurance claims for damages resulting from a
          state disaster emergency
 
          The People of the State of New York, represented in Senate and  Assem-

        bly, do enact as follows:
 
     1    Section 1. The civil practice law and rules is amended by adding three
     2  new rules 3410, 3411 and 3412 to read as follows:
     3    Rule  3410.  Mandatory  preliminary  conference  in  certain insurance
     4  actions. (a) In any action involving  an  insurance  claim  for  damages
     5  occurring  to  property in a county where a state disaster emergency has
     6  been declared by the governor pursuant to section  twenty-eight  of  the
     7  executive  law  relating  to  any  claim  arising from the cause of such
     8  declaration, the court shall hold a preliminary conference within thirty
     9  days after the request for judicial intervention is filed.
    10    (b) At any conference held pursuant to this rule,  all  parties  shall

    11  appear  in person or by counsel, and if appearing by counsel, such coun-
    12  sel shall be fully authorized to dispose of the case.   In  the  court's
    13  discretion, the court may permit a representative of any party to attend
    14  the settlement conference telephonically or by video-conference.
    15    (c)  Upon  filing  of  a  request for judicial intervention, the court
    16  shall promptly send a notice to parties advising them of  the  time  and
    17  place  of the conference, the purpose of the conference and the require-
    18  ments of this rule. The notice shall be in  a  form  prescribed  by  the
    19  office  of  court administration, or, at the discretion of the office of
    20  court administration, the administrative judge of the judicial  district

    21  in  which  the  action  is  pending, and shall advise the parties of the
    22  documents that they should bring to the conference.
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD08348-06-3

        A. 5570                             2
 
     1    (d) No adjournment in excess of ten days shall be granted by the court
     2  for any such preliminary conference, and such an adjournment shall  only
     3  be granted upon good cause shown.
     4    (e)  Discovery  shall  be completed within sixty days from the date of
     5  the preliminary conference, and penalties may be  assessed  against  any

     6  party as per section three thousand one hundred twenty-six of this chap-
     7  ter  for  refusal  to  comply  with discovery within said sixty day time
     8  period. The court may extend said sixty day time period  sua  sponte  in
     9  the interest of justice, or upon good cause shown by any party.
    10    Rule  3411.  Mandatory  settlement  conference  in  certain  insurance
    11  actions. In any action involving an insurance claim for  damages  occur-
    12  ring  to  property in a county where a state disaster emergency has been
    13  declared by the governor pursuant to section twenty-eight of the  execu-
    14  tive  law  relating to any claim arising from the cause of such declara-
    15  tion, the court shall hold  a  mandatory  settlement  conference  within

    16  fourteen  days  after  a note of issue has been filed for the purpose of
    17  holding settlement discussions pertaining to such insurance claims.
    18    Rule 3412. Motions in certain insurance actions.  (a)  Notwithstanding
    19  subdivision  (a)  of  rule thirty-two hundred twelve of this chapter, in
    20  any action involving an insurance claim for damages occurring to proper-
    21  ty in a county where a state disaster emergency has been declared by the
    22  governor pursuant to section twenty-eight of the executive law  relating
    23  to  any  claim arising from the cause of such declaration, all pre-trial
    24  motions shall be made within thirty days after  the  note  of  issue  is
    25  filed.
    26    (b) This rule shall not apply to claims involving reinsurance.

    27    §  2. Subdivision (a) of rule 3403 of the civil practice law and rules
    28  is amended by adding a new paragraph 7 to read as follows:
    29    7. an action to recover damages resulting from damage to property in a
    30  county caused by a natural disaster upon declaration of a state disaster
    31  emergency by the governor pursuant to section twenty-eight of the execu-
    32  tive law relating to any claim arising from the cause of  such  declara-
    33  tion.
    34    § 3. This act shall take effect immediately.
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