Legal Opinion

Andrew Carothers, M.D., P.C. v. Progressive Insurance Co.

Appellate Division of the Supreme Court of the State of New York

Decided April 5, 2017No. 2013-10969PublishedCited by 6 opinions

1Opinion of the Court

OPINION OF THE COURT

Duffy, J.

New York State law mandates that professional service corporations be owned and controlled only by licensed professionals. In State Farm Mut. Auto. Ins. Co. v Mallela (4 NY3d 313 [2005]), the Court of Appeals held that under the no-fault insurance law (Insurance Law § 5101 et seq.), an insurance carrier may withhold payment for medical services provided by a professional corporation which has been “fraudulently incorporated” to allow nonphysicians to share in its ownership and control. The primary issue we are called upon to determine, for the first time, is what…

2Cases cited20 opinions

  1. Auerbach v. BennettNew York Court of Appeals · 1979
  2. Gaidon v. Guardian Life Insurance Co. of AmericaNew York Court of Appeals · 1999
  3. Marine Midland Bank v. John E. Russo Produce Co.New York Court of Appeals · 1980
  4. State Farm Mutual Automobile Insurance v. MallelaNew York Court of Appeals · 2005
  5. Nestorowich v. RicottaNew York Court of Appeals · 2002

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3Cited by6 opinions

  1. Gasson v. Premier Capital, LLCCourt of Appeals for the Second Circuit · 2022
  2. Nationwide Affinity Insurance Co. of America v. Acuhealth Acupuncture, P.C.Appellate Division of the Supreme Court of the State of New York · 2017
  3. Rosado v. K & Y Mgt. Corp.Appellate Division of the Supreme Court of the State of New York · 2023
  4. Andrew Carothers, M.D v. Progressive Insurance CompanyNew York Court of Appeals · 2019
  5. M&M Country Store, Inc. v. KellyAppellate Division of the Supreme Court of the State of New York · 2018

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