Scarinci Hollenbeck, LLC
The Firm
201-896-4100 info@sh-law.comFirm Insights
Author: Scarinci Hollenbeck, LLC
Date: March 25, 2022
The Firm
201-896-4100 info@sh-law.comNew York litigants must disclose information about available insurance coverage under a new law known as the Comprehensive Insurance Disclosure Act (CIDA or the Act), which took effect on December 31, 2021. However, in response to concerns about the compliance burdens placed on civil defendants, the new law has already been amended to remove some of its most onerous requirements.
As initially enacted, CIDA amended New York Civil Practice Law and Rules (CPLR) section 3101(f) to require civil defendants in New York Courts to provide a complete copy of all insurance policies that “may be liable to satisfy part or all of a judgment.” Initially, CIDA’s disclosure requirements applied to all pending cases as of its effective date.
The Act also mandated the disclosure of the policies’ application, as well as information about the policies’ erosion (if any) by prior payments of claims, settlements and/or attorneys’ fees. Defendants were also required to provide information regarding the identity of the claims handler or third-party administrator. As originally enacted, the CIDA required disclosures be provided within 60 days of service of an answer to a complaint. It also mandated that defendants update their insurance disclosures regularly.
Even before the CIDA became law, lawmakers were having discussions about possible amendments aimed at reducing the burden on defendants. On February 24, 2022, Gov. Kathy Hochul signed amendments into law. Below are several key changes under Senate Bill S7882A:
While the amendments are favorable to defendants, CIDA represents a significant change in insurance disclosure obligations for New York litigants. We encourage businesses and their counsel to familiarize themselves with the new requirements.
If you have any questions or if you would like to discuss the matter further, please contact me, Ajoe Abraham, or the Scarinci Hollenbeck attorney with whom you work, at 201-896-4100.
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
If you’re considering closing your business, it’s crucial to understand that simply shutting your doors does not end your legal obligations. Unless you formally dissolve your business, it continues to exist in the eyes of the law—leaving you exposed to ongoing liabilities such as taxes, compliance violations, and potential lawsuits. Dissolving a business can seem […]
Author: Christopher D. Warren
Contrary to what many people think, corporate restructuring isn’t all doom and gloom. Revamping a company’s organizational structure, corporate hierarchy, or operations procedures can help keep your business competitive. This is particularly true during challenging times. Corporate restructuring plays a critical role in modern business strategy. It helps companies adapt quickly to market changes. Following […]
Author: Dan Brecher
Cryptocurrency intimidates most people. The reason is straightforward. People fear what they do not understand. When confusion sets in, the common reaction is either to ignore the subject entirely or to mistrust it. For years, that is exactly how most of the public and even many in law enforcement treated cryptocurrency. However, such apprehension changed […]
Author: Bryce S. Robins
Using chattel paper to obtain a security interest in personal property is a powerful tool. It can ensure lenders have a legal claim on collateral ranging from inventory to intellectual property. To reduce risk and protect your legal rights, businesses and lenders should understand the legal framework. This framework governs the creation, sale, and enforcement […]
Author: Dan Brecher
For years, digital assets operated in a legal gray area, a frontier where innovation outpaced the reach of regulators and law enforcement. In this early “Wild West” phase of finance, crypto startups thrived under minimal oversight. That era, however, is coming to an end. The importance of crypto compliance has become paramount as cryptocurrency has […]
Author: Bryce S. Robins
Earlier this month, the U.S. Supreme Court issued a decision in Ames v. Ohio Department of Youth Services vitiating the so-called “background circumstances” test required by half of federal circuit courts.1 The background circumstances test required majority group plaintiffs pleading discrimination under Title VII of the Civil Rights Act to meet a heightened pleading standard […]
Author: Matthew F. Mimnaugh
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.
Let`s get in touch!
Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!