STATE FARM MUTUAL AUTOMOBILE INSURANCE Co., Appellant,
v.
ROBERT MALLELA et al., Respondents.
Court of Appeals of the State of New York.https://leagle.com/images/logo.png
Argued February 8, 2005.
Decided March 29, 2005.
Attorney(s) appearing for the Case
Rivkin Radler LLP, Uniondale (Evan H. Krinick, Cheryl F. Korman and Stuart M. Bodoff of counsel), and KMZ Rosenman LLP, Chicago, Illinois (Ross O. Silverman and Gil M. Soffer of counsel), for appellant.
Law Office of Joseph J. LaBarbera, P.C., Brooklyn (Joseph J.LaBarbera of counsel), for Astoria Physical Medicine and Rehabilitation, P.C. and another, respondents.
Friedman Harfenist Langer & Kraut, Lake Success (Steven J. Harfenist and Neil Torczyner of counsel), for Valley Physical Medicine and Rehabilitation, P.C. and others, respondents.
Hoffman, Einiger & Polland, PLLC, New York City (Mark L. Furman of counsel), and Israel, Israel & Purdy, LLP, Great Neck (Veronica Renta Irwin, Stuart M. Israel and William M. Purdy of counsel), for Yonkers Medical Services, P.C. and others, respondents.
Goodwin Proctor LLP, New York City (Jeffrey A. Simes and Richard M. Strassberg of counsel), and La Sorsa & Beneventano, White Plains (Gregory M. La Sorsa of counsel), for Dr. Dipak Nandi and others, respondents.
Eliot Spitzer, Attorney General, New York City (Daniel Smirlock and Robert H. Easton of counsel), for Gregory V. Serio, amicus curiae.
Locks Law Firm, PLLC, New York City (Seth R. Lesser and Andrew P. Bell of counsel), Thomas W. Alfano and Belesi & Donovan, P.C., Garden City (John Belesi of counsel), for Meridian Acupuncture Care, amicus curiae.
Cadwalader, Wickersham & Taft LLP, New York City (Francis J. Serbaroli and William J. Natbony of counsel), and Short & Billy, P.C. (Skip Short of counsel), for Allstate Insurance Company and others, amici curiae.
Pastel & Rosen, LLP, Albany (Robert Pastel of counsel), for New York Insurance Association, Inc., amicus curiae. perintendent of Insurance's prohibition against reimbursing fraudulently incorporated medical providers is not unreasonable.
Chief Judge KAYE and Judges G.B. SMITH, CIPARICK, GRAFFEO, READ and R.S. SMITH concur.
Court of Appeals of the State of New York.
OPINION OF THE COURT
ROSENBLATT, J.
On this certified question from the United States Court of Appeals for the Second Circuit, we are asked whether, under our "no-fault" insurance laws (see Insurance Law § 5101 et seq. and implementing regulations), insurance carriers may withhold payment for medical services provided by fraudulently incorporated enterprises to which patients have assigned their claims. We conclude that they may.
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