STATE FARM v. STATE


124 N.J. 32 (1991)

590 A.2d 191

STATE FARM MUTUAL AUTOMOBILE INSURANCE COMPANY, PLAINTIFF-RESPONDENT AND CROSS-APPELLANT, AND ALLSTATE INSURANCE COMPANY, INTERVENOR-RESPONDENT AND CROSS-APPELLANT, AND LIBERTY MUTUAL INSURANCE COMPANY, INTERVENOR-RESPONDENT AND CROSS-APPELLANT, v. THE STATE OF NEW JERSEY; SAMUEL FORTUNATO, IN HIS OFFICIAL CAPACITY AS COMMISSIONER OF INSURANCE OF THE STATE OF NEW JERSEY; ROBERT J. DEL TUFO, IN HIS OFFICIAL CAPACITY AS ATTORNEY GENERAL OF THE STATE OF NEW JERSEY; DOUGLAS BERMAN, IN HIS OFFICIAL CAPACITY AS TREASURER OF THE STATE OF NEW JERSEY; AND BENJAMIN J. REDMOND, IN HIS OFFICIAL CAPACITY AS THE ACTING DIRECTOR OF THE DIVISION OF TAXATION OF THE STATE OF NEW JERSEY, DEFENDANTS-APPELLANTS AND CROSS-RESPONDENTS, AND THE PROPERTY LIABILITY INSURANCE GUARANTY ASSOCIATION, DEFENDANT-RESPONDENT.

The Supreme Court of New Jersey.

Decided May 16, 1991.


Attorney(s) appearing for the Case

Douglas S. Eakeley, Acting Attorney General of New Jersey, argued the cause for appellants and cross-respondents State of New Jersey, Samuel Fortunato, Robert J. Del Tufo, Douglas Berman, and Benjamin J. Redmond (Douglas S. Eakeley, attorney; Jack M. Sabatino, Assistant Attorney General, of counsel; Joseph L. Yannotti, Lori L. Chewkanes, Sharon M. Hallanan, Stephen P. Tasy, Sarah T. Darrow, Bernard M. Flynn, Todd A. Widger, and John M. Armstrong, Deputy Attorneys General, on the briefs).

Thomas P. Weidner argued the cause for respondent and cross-appellant State Farm Mutual Automobile Insurance Company (Jamieson, Moore, Peskin & Spicer, attorneys; Thomas P. Weidner, Deborah T. Poritz and Richard J. Wertheimer, a member of the District of Columbia bar, of counsel; Thomas P. Weidner, Deborah T. Poritz, Richard J. Wertheimer, and Murray R. Garnick, a member of the District of Columbia bar, on the briefs).

Floyd Abrams, a member of the New York bar, argued the cause for intervenor-respondent and cross-appellant Allstate Insurance Company (Smith, Stratton, Wise, Heher & Brennan, attorneys; Floyd Abrams, William J. Brennan, III, and Wendy L. Mager, of counsel; Floyd Abrams and William J. Brennan, III, on the briefs).

J. Michael Riordan argued the cause for respondent Property Liability Insurance Guaranty Association (Bressler, Amery & Ross, attorneys).

Elmer M. Matthews argued the cause for amicus curiae American Insurance Association (Clapp & Eisenberg, attorneys; Elmer M. Matthews, Frederic S. Kessler, and Harvey C. Kaish, on the brief).

Stephen D. Cuyler submitted a letter memorandum on behalf of intervenor-respondent and cross-appellant Liberty Mutual Insurance Company (Cuyler, Burk & Matthews, attorneys).


The opinion of the Court was delivered by HANDLER, J.

This appeal arises from three actions filed by automobile insurance companies in the Superior Court, Chancery Division, all challenging the facial constitutionality of the Fair Automobile Insurance Reform Act of 1990, L. 1990, c. 8 (the Reform Act or the Act). State Farm Mutual Automobile Insurance Company (State Farm) and Liberty Mutual Insurance Company (Liberty Mutual) contend that certain surtaxes...

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