TRAVELERS INS. CO. v. COMM'RS OF THE STATE INS. FUND


227 A.D.2d 208 (1996)

642 N.Y.S.2d 867

Travelers Insurance Company, Respondent, v. Commissioners of the State Insurance Fund, Appellant

Appellate Division of the Supreme Court of the State of New York, First Department.

May 14, 1996


Claimant and defendant State Insurance Fund were coinsurers of a corporation named as a defendant in a personal injury suit. At all times, the State Insurance Fund has acknowledged its obligation to defend its insured and pay one half of the legal costs incurred in that defense. Once the underlying lawsuit was settled and the bill for legal fees presented to the State Insurance Fund, however, it discovered that the firm retained...

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