New York’s third-party practice rules have changed, and waiting is now the biggest risk.
In this episode of New York Civil Law Update, New York appellate attorney Matthew Lerner explains The AVOID Act, a new statute amending CPLR 1007 that dramatically shortens deadlines for third-party claims in New York civil litigation.
Under the AVOID Act, defendants seeking contractual indemnification or asserting failure to procure insurance must commence a third-party action within 60 days of serving an answer — not after depositions, and not after discovery.
This episode explains why traditional, discovery-driven claims handling no longer works, and how claims professionals and litigators must shift to intake-driven risk transfer analysis.
What This Episode Covers
- The AVOID Act and new CPLR 1007 deadlines
- 90-day limits on contractual indemnification claims
- Early triggers for contribution and common-law indemnification
- Why waiting for discovery can destroy risk transfer
- How the Act impacts Labor Law, construction accidents, and multi-party cases
- Coverage implications for primary and excess insurers
Practical Claims Takeaways
- Demand contracts and insurance at assignment
- Evaluate risk transfer immediately after service of the answer
- Engage excess carriers earlier where indemnity may be lost
The episode closes with a timely Final Note tying modern claims strategy to the Billboard No. 1 song 15 years ago this week, a reminder that hesitation often carries the highest cost.
The AVOID Act takes effect April 18, 2026. Preparation must start now.
For deadlines, flowcharts, and a practical AVOID Act cheat sheet, visit New York Civil Law.
Transcript: Read transcript here.
Disclaimer: The views expressed are those of the host and not of Gerber Ciano Kelly Brady LLP.
Note: This episode was re-recorded to account for an amendment to the Act.