AXA Marine & Aviation Insurance (UK) Ltd. v. Seajet Industries Inc.

New York is one of the minority of states that apply the “no prejudice” rule in cases involving late notices of occurrence. See Ostrager and Newman, Handbook on Insurance Coverage Disputes §§ 4.02[c][l]-[2], 4.04 (7th ed.1988). The question not yet answered by the New York Court of Appeals is whether New York will apply the same unyielding doctrine in cases involving late notices of claim or suit, or whether it will follow the majority of jurisdictions by holding that an “insured’s failure to forward demands or other court papers will not relieve an insurer of its duties to defend or…