New York State's highest court on Thursday ruled that an arbitrator should decide whether the Town of Amherst or an insurance company receives $3.13 million in interest from a settlement paid after a 2002 accident in Amherst State Park.
The town in 2002 was insured under an excess liability policy issued by Granite State, when a contractor fell from the roof of a building maintained by the town at Amherst State Park and was seriously injured. After the settlement, $3.13 million in accrued interest became the subject of a new dispute.
In a 4-1 decision, the state Court of Appeals in Albany affirmed a lower court's decision to grant Granite State's motion to compel arbitration.
"We're disappointed with the decision," said Town Attorney Stanley Sliwa. "We're evaluating what our options are."
The $3.13 million is being held in escrow until the case is resolved.