Order modified on the law and as a matter of discretion and as modified affirmed without costs, in accordance with the following memorandum: Special Term abused its discretion in ordering defendant's insurance carrier to pay a sanction of $2,500 as a condition for permitting defendant to serve a late answer. The record reveals that defendant's failure to interpose an answer was not the result of neglect or a ploy, but rather was based on the insurance carrier's good-faith...
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