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CARTER LINCOLN-MERCURY v. EMAR GROUP

135 N.J. 182 (1994)

638 A.2d 1288

CARTER LINCOLN-MERCURY, INC., LEASING DIVISION, PLAINTIFF-RESPONDENT, v. EMAR GROUP, INC., DEFENDANT-APPELLANT, AND ALL POINTS, INC., A/K/A GOLDSTAR EXPRESS AND ELLIOTT H. GOLDSTEIN, DEFENDANTS.

The Supreme Court of New Jersey.

Decided April 12, 1994.

Attorney(s) appearing for the Case

Jeffrey M. Garrod argued the cause for appellant (Orloff, Lowenbach, Stifelman & Siegel, attorneys; Mr. Garrod and David B. Katz, of counsel and on the brief).

William G. Wright argued the cause for respondent (Farr, Lyons, Burke, Gambacorta & Wright, attorneys).

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

The question presented is whether an insurance broker engaged to obtain insurance on behalf of a prospective insured owes a duty to a loss-payee subsequently named on the acquired policy to place the insurance with a financially stable insurance carrier.

EMAR Group, Inc. ("EMAR"), an insurance broker and agent, placed a collision policy with American Lloyds Insurance Company ("American Lloyds") on behalf...

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