How Far Will ‘Mallela III’ Be Extended?


IN JUNE 2004, the U.S. Court of Appeals for the Second Circuit certified a question dealing with no fault health insurance payments to the New York Court of Appeals, which that Court answered in State Farm Mutual Automobile Insurance Co. v. Mallela1 (“Mallela III”). Although the Court of Appeals answered the certified question, several issues have arisen from the decision as to its effect and scope. These issues, including the retroactivity of the decision, are being litigated vigorously; lower courts have been split on the answers to some questions.

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