State Farm Mut. Auto Ins. Co. v. Mallela – Case Brief Summary (New York)

In State Farm Mut. Auto Ins. Co. v. Mallela, 4 NY3d 313, 827 N.E.2d 758, 794 N.Y.S.2d 700 (2005), the Court of Appeals held that a "fraudulently incorporated" medical provider is not entitled to reimbursement under no-fault law for services rendered to no-fault claimants, and this holds true even when the services were properly rendered by a licenced medical practitioner.

The Mallela decision has spawned a wide range of knotty problems for District Court and Civil Court Judges, often prolonging the resolution of routine claims for no-fault benefits and adding to court congestion.