In re the Arbitration Between Travelers Insurance & Magyar

Order unanimously reversed on the law without costs and petition granted. Memorandum: Petitioner appeals from an order denying its application to stay arbitration of respondent’s claim for underinsurance coverage and directing that the matter proceed to arbitration. Petitioner contends that it is entitled to a stay of arbitration because respondent failed to comply with a condition precedent to coverage, viz., that respondent released her claim against the tortfeasors and their insurer without the knowledge or consent of petitioner in derogation of petitioner’s subrogation rights.

Petitioner…