Ethel Gervant v. New England Fire Insurance Co.

Summary

The New York Court of Appeals affirmed the Appellate Division's decision to set aside the appraisal award because the umpire and insurer's appraiser arbitrarily refused to consider evidence beyond replacement cost less depreciation, constituting legal misconduct. The court held that such refusal violates the insured's procedural right to have all pertinent evidence heard and that, after a defective appraisal is set aside, the insured may proceed with an action at law on the policy without being required to undergo a new appraisal.