New York Court of Appeals
Samuel Weinberg, Appellant v. Transamerica Insurance Company, Respondent
June 14, 198462 N.Y.2d 379
Summary
The New York Court of Appeals affirmed the Appellate Division’s summary‑judgment order granting judgment for Transamerica Insurance Company. The Court held that a general release executed by the insured without an express reservation or necessary implication of the insurer’s subrogation rights operates to prejudice those rights, placing the burden on the insured to show otherwise. The Court also held that subdivision 2 of section 673 of the Insurance Law does not give the insurer a direct cause of action against the third‑party tortfeasor.