MATTER OF AM. INS. CO (MESSINGER)


43 N.Y.2d 184 (1977)

In the Matter of the Arbitration between American Insurance Company, Respondent, and Philip Messinger et al., Respondents. Aetna Casualty and Surety Company, Appellant.

Court of Appeals of the State of New York.

Decided November 22, 1977.


Attorney(s) appearing for the Case

Joseph D. Ahearn and J. Robert Morris for appellant.

Howard Lester and Patrick A. Lyons for American Insurance Company, respondent.

William F. Larkin for Committee on Insurance Arbitration, amicus curiae.

Chief Judge BREITEL and Judges JASEN and WACHTLER concur with Judge JONES; Judge GABRIELLI dissents and votes to reverse in a separate opinion in which Judges FUCHSBERG and COOKE concur.


JONES, J.

We hold that the determination made in a property damage arbitration proceeding between two insurance carriers disallowing the disclaimer of coverage by one of them is binding in a controversy between the same carriers in a subsequent personal injury action arising out of the same accident.

The relevant facts for the purposes of this appeal are not disputed. On May 31, 1972 Mr. and Mrs. Messinger...

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