June 6, 2025

Arguelles, M.D., P.C. v AIG Natl. Ins. Co. (2025 NY Slip Op 51142(U))

Headnote

The court considered a stipulation agreement from 2009 between the parties that allowed the plaintiff to enter a judgment for no-fault benefits without any time limit if payment was not received within 30 days. The plaintiff sought to enter judgment based on this stipulation, which was initially granted. However, the defendant later moved to vacate the judgment, arguing that it had not received the plaintiff's motion and that payments had been made timely. The Civil Court granted the defendant's motion to dismiss the complaint, claiming the plaintiff's action was barred by the six-year statute of limitations. On appeal, the court reversed this decision, ruling that the stipulation allowed the plaintiff to seek a judgment without any time constraints and that there was no applicable statute of limitations for entering a judgment based on the stipulation’s terms. The court denied the motion to dismiss and remitted the case for further proceedings.

Reported in New York Official Reports at Arguelles, M.D., P.C. v AIG Natl. Ins. Co. (2025 NY Slip Op 51142(U))

[*1]
Arguelles, M.D., P.C. v AIG Natl. Ins. Co.
2025 NY Slip Op 51142(U)
Decided on June 6, 2025
Appellate Term, Second Department
Published by New York State Law Reporting Bureau pursuant to Judiciary Law § 431.
This opinion is uncorrected and will not be published in the printed Official Reports.


Decided on June 6, 2025
SUPREME COURT, APPELLATE TERM, SECOND DEPARTMENT, 2d, 11th and 13th JUDICIAL DISTRICTS

PRESENT: : WAVNY TOUSSAINT, P.J., CHEREÉ A. BUGGS, LISA S. OTTLEY, JJ
2023-80 K C

Arguelles, M.D., P.C., as Assignee of Edwin, Jerome, Appellant,

against

AIG National Insurance Co., Respondent.


Law Office of David Paul Horowitz, PLLC (David Paul Horowitz and Richard Rozhik of counsel), for appellant. Law Offices of Buratti, Rothenberg & Burns (Kenneth F. Popper and Argyria Kehagias of counsel), for respondent.

Appeal by permission from an order of the Civil Court of the City of New York, Kings County (Rupert V. Barry, J.), dated December 9, 2021. The order granted defendant’s oral motion to dismiss the complaint.

ORDERED that the order is reversed, with $30 costs, defendant’s motion to dismiss the complaint is denied and the matter is remitted to the Civil Court for all further proceedings.

After this action by a provider to recover assigned first-party no-fault benefits commenced, the parties entered into a stipulation dated September 24, 2009 which provided that, if plaintiff did not receive payment as set forth in the stipulation within 30 days, plaintiff could enter judgment for the amount demanded in the complaint without further notice. In 2019, plaintiff moved to enter judgment pursuant to the stipulation. After the unopposed motion was granted (Lorna J. McAllister, J.), a judgment was entered in favor of plaintiff. Defendant moved to vacate the judgment, contending, among other things, that it had not received plaintiff’s motion to enter a judgment and that it had timely paid the amounts set forth in the stipulation. The Civil Court (Rupert V. Barry, J.) granted defendant’s motion to vacate the default judgment, finding that defendant had not received plaintiff’s motion seeking entry of the judgment, and ordered a hearing to determine whether defendant had complied with the stipulation. When the parties appeared for the hearing, defendant orally moved to dismiss plaintiff’s claim on the ground that the claim to recover upon the stipulation was barred by the statute of limitations. By order dated December 9, 2021, the Civil Court (Rupert V. Barry, J.) granted defendant’s oral motion to dismiss the complaint, finding that, “as recited in CPLR § 213 (1), Plaintiff needed to have commenced its action ‘within six years’ . . . [but] Plaintiff commenced [this] action to enforce its settlement agreement outside the 6 years statute of limitations.” Plaintiff appeals, by permission [*2](Arguelles, M.D., P.C. v AIG Natl. Ins. Co., 2024 NY Slip Op 76031[U] [App Term, 2d Dept, 2d, 11th & 13th Jud Dists 2024]), from the December 9, 2021 order.

“The parties’ [2009] stipulation expressly permitted [plaintiff] to apply to the court for a judgment based upon any future default without any time limits (see Marine Midland Bank v Worldwide Industrial Corp., 307 AD2d 221 [2003])” (Cook v Greenbaum, 18 AD3d 416, 417-418 [2005]). “Had respondents desired to impose a time limit on the enforcement of their obligations under the stipulation, they had only to incorporate the appropriate language into their agreement” (Marine Midland Bank, 307 AD2d at 222). To the extent defendant contends that the order should be affirmed pursuant to CPLR 3215 (c) because plaintiff did not seek entry of the judgment within one year of the alleged default, such a contention lacks merit as “[e]ntry of a default judgment for failure to comply with a stipulation of settlement is specifically provided for by CPLR 3215 (i) (1), which contains no time limit for entering such judgment” (id.).

Accordingly, the order is reversed, defendant’s motion to dismiss the complaint is denied and the matter is remitted to the Civil Court for all further proceedings.

TOUSSAINT, P.J., BUGGS and OTTLEY, JJ., concur.


ENTER:
Paul Kenny
Chief Clerk
Decision Date: June 6, 2025