NY Court Lacked Personal Jurisdiction over Foreign Insurer
In an action to stay arbitration of uninsured motorist arbitration, a New York appellate court dismissed the proceeding against an insurer for lack of personal jurisdiction. In Matter of American Transit Ins. Co. v. Hoque (NY App., 1st Dept., Nov. 8, 2007), the court concluded the insurer was not doing business in New York, since it was a Pennsylvania company not licensed to do business in New York; it maintained no offices in New York; had no bank accounts and had no agents operating out of or representatives soliciting business in New York; and, did not own or possess real property in New York. The court also found that the insurer was not transacting business in New York merely because the driver of the offending vehicle, which was registered in Pennsylvania, drove the vehicle in this state, as this was not “purposeful activity” on the part of the insurer.
