Post 5019<\/span><\/strong><\/h3>\nSee the full video at https:\/\/rumble.com\/v6qkv3w-insurance-appraisal-is-an-arbitration-in-rhode-island.html<\/a>\u00a0 and at https:\/\/youtu.be\/emwHNaa9XD8<\/a><\/p>\n![\"\"](\"https:\/\/i0.wp.com\/zalma.com\/blog\/wp-content\/uploads\/2025\/03\/APPRAISAL-AS-ARBITRATION.png?resize=640%2C360\")
New England Property Services Group, LLC appealed from a January 23, 2024 order denying the plaintiff\u2019s motion to reconsider a denial of the plaintiff\u2019s petition to confirm an appraisal award. The Superior Court granted the defendant, Vermont Mutual Insurance Company\u2019s (defendant),cross-petition to vacate the award based on partiality on the part of the plaintiff\u2019s appraiser.<\/p>\n
In New England Property Services Group, LLC v. Vermont Mutual Insurance Company<\/em>, No. 2024-67-Appeal, Supreme Court of Rhode Island (March 10, 2025) the Supreme Court Applied state law.<\/p>\nFACTS
<\/span><\/strong><\/h2>\nBrandy Hamel and Scott Parker (the insureds) made claim to Vermont Mutual for loss caused by wind damage to the insured\u2019s property located in Greenville, Rhode Island. The insureds engaged plaintiff to complete the repairs at their home in exchange for the assignment of their insurance claim to plaintiff. The defendant processed the claimed loss and provided an estimate to plaintiff. The plaintiff disagreed with the estimate and invoked the appraisal process established in the insurance agreement.<\/p>\n
THE APPRAISAL CLAUSE<\/span><\/strong><\/h2>\nThe appraisal clause in the contract allows the determination of loss by submitting the dispute over the amount to a panel of three appraisers.<\/p>\n
Steven Ceceri (Ceceri), the principal of plaintiff, was appointed by plaintiff as its appraiser for the dispute. The defendant appointed Vincent Cicci (Cicci) as its own appraiser. According to the terms of the appraisal clause, Ceceri and Cicci were to agree on a person to serve as appraisal umpire. The two men could not agree, and Felix Carlone (Carlone) was appointed as umpire by the Superior Court.<\/p>\n
The appraisal concluded with an award signed by Ceceri and Carlone, with Cicci refusing to sign, according to defendant, because he believed that the award was not supported by the facts presented. Plaintiff filed a petition to confirm the appraisal award under Rhode Island\u2019s Arbitration Act in the Superior Court. The defendant filed a cross-petition to vacate the award arguing that Ceceri was ineligible to serve as appraiser for plaintiff because of his financial interest in a potential award.<\/p>\n
The Superior Court entered an order granting defendant\u2019s cross-petition to vacate the appraisal award and denying plaintiff\u2019s petition to confirm the appraisal award.<\/p>\n
After defendant objected, the Superior Court denied plaintiff\u2019s motion. The hearing justice determined that the omission of the term \u201cdisinterested\u201d from the insurance contract did not negate the categorization of the appraisal process as an arbitration. Specifically, he declared that plaintiff \u201ccontinuously promoted\u201d the appraisal proceedings as arbitration throughout the process.<\/p>\n
DISCUSSION<\/span><\/strong><\/h2>\nThe plaintiff asserts that the public policy is efficient resolution of insurance disputes that have been served by the appraisal proceeding. The plaintiff further avers that Rhode Island has not universally equated appraisal with arbitration and that the Arbitration Act does not apply to this appraisal proceeding.<\/p>\n
The Supreme Court concluded that it is well settled in New Hampshire that when the language of a statute is clear and unambiguous, the Supreme Court must interpret the statute literally and must give the words of the statute their plain and ordinary meanings.<\/p>\n
The Arbitration Act has no requirement that the arbitrators be disinterested; rather, they are only prohibited from engaging in partiality or corruption. Since the Plaintiff, sitting as an appraiser, had a financial interest in the outcome he was engaging in partiality or corruption.<\/p>\n
The Supreme Court concluded that plaintiff\u2019s actions revealed his willingness to use every judicial avenue available to derive an unfair advantage if it were permitted to now claim that the appraisal proceeding is not arbitration after previously attempting to confirm the appraisal award in the Superior Court under that same theory.\u00a0The Supreme Court affirmed the order of the Superior Court.<\/p>\n
The New York Standard Fire Insurance Policy has been the foundation for insurance policies insuring against the risk of lost to real or personal property and, followed and adopted across the country. It, and almost all property policies, contain an appraisal clause as a prompt means of conflict resolution. In this case, one of the appraisers had an assignment of the insured\u2019s claims against the insurer and was interested in the result of the appraisal. The Supreme Court found that the appraisal is subject to New Hampshire\u2019s Arbitration Act as an arbitration and affirmed the Superior Court because of the plaintiff\u2019s appraiser\u2019s interest in the proceeds.<\/p>\n
![\"\"](\"https:\/\/i0.wp.com\/zalma.com\/blog\/wp-content\/uploads\/2024\/12\/BZTHEA.png?resize=300%2C282\")
(c) 2025 Barry Zalma & ClaimSchool, Inc.<\/p>\n
Please tell your friends and colleagues about this blog and the videos and let them subscribe to the blog and the videos.<\/p>\n
Subscribe to my substack at https:\/\/barryzalma.substack.com\/subscribe<\/a><\/p>\nGo to X @bzalma; Go to Newsbreak.com https:\/\/www.newsbreak.com\/@c\/1653419?s=01;<\/a> Go to Barry Zalma videos at Rumble.com at https:\/\/rumble.com\/account\/content?type=all;<\/a> Go to Barry Zalma on YouTube- https:\/\/www.youtube.com\/channel\/UCysiZklEtxZsSF9DfC0Expg<\/a><\/p>\nGo to the Insurance Claims Library \u2013 https:\/\/lnkd.in\/gwEYk<\/a><\/p>\n\nLike this:<\/h3>\n
New England Property Services Group, LLC appealed from a January 23, 2024 order denying the plaintiff\u2019s motion to reconsider a denial of the plaintiff\u2019s petition to confirm an appraisal award. The Superior Court granted the defendant, Vermont Mutual Insurance Company\u2019s (defendant),cross-petition to vacate the award based on partiality on the part of the plaintiff\u2019s appraiser.<\/p>\n
In New England Property Services Group, LLC v. Vermont Mutual Insurance Company<\/em>, No. 2024-67-Appeal, Supreme Court of Rhode Island (March 10, 2025) the Supreme Court Applied state law.<\/p>\n Brandy Hamel and Scott Parker (the insureds) made claim to Vermont Mutual for loss caused by wind damage to the insured\u2019s property located in Greenville, Rhode Island. The insureds engaged plaintiff to complete the repairs at their home in exchange for the assignment of their insurance claim to plaintiff. The defendant processed the claimed loss and provided an estimate to plaintiff. The plaintiff disagreed with the estimate and invoked the appraisal process established in the insurance agreement.<\/p>\n The appraisal clause in the contract allows the determination of loss by submitting the dispute over the amount to a panel of three appraisers.<\/p>\n Steven Ceceri (Ceceri), the principal of plaintiff, was appointed by plaintiff as its appraiser for the dispute. The defendant appointed Vincent Cicci (Cicci) as its own appraiser. According to the terms of the appraisal clause, Ceceri and Cicci were to agree on a person to serve as appraisal umpire. The two men could not agree, and Felix Carlone (Carlone) was appointed as umpire by the Superior Court.<\/p>\n The appraisal concluded with an award signed by Ceceri and Carlone, with Cicci refusing to sign, according to defendant, because he believed that the award was not supported by the facts presented. Plaintiff filed a petition to confirm the appraisal award under Rhode Island\u2019s Arbitration Act in the Superior Court. The defendant filed a cross-petition to vacate the award arguing that Ceceri was ineligible to serve as appraiser for plaintiff because of his financial interest in a potential award.<\/p>\n The Superior Court entered an order granting defendant\u2019s cross-petition to vacate the appraisal award and denying plaintiff\u2019s petition to confirm the appraisal award.<\/p>\n After defendant objected, the Superior Court denied plaintiff\u2019s motion. The hearing justice determined that the omission of the term \u201cdisinterested\u201d from the insurance contract did not negate the categorization of the appraisal process as an arbitration. Specifically, he declared that plaintiff \u201ccontinuously promoted\u201d the appraisal proceedings as arbitration throughout the process.<\/p>\n The plaintiff asserts that the public policy is efficient resolution of insurance disputes that have been served by the appraisal proceeding. The plaintiff further avers that Rhode Island has not universally equated appraisal with arbitration and that the Arbitration Act does not apply to this appraisal proceeding.<\/p>\n The Supreme Court concluded that it is well settled in New Hampshire that when the language of a statute is clear and unambiguous, the Supreme Court must interpret the statute literally and must give the words of the statute their plain and ordinary meanings.<\/p>\n The Arbitration Act has no requirement that the arbitrators be disinterested; rather, they are only prohibited from engaging in partiality or corruption. Since the Plaintiff, sitting as an appraiser, had a financial interest in the outcome he was engaging in partiality or corruption.<\/p>\n The Supreme Court concluded that plaintiff\u2019s actions revealed his willingness to use every judicial avenue available to derive an unfair advantage if it were permitted to now claim that the appraisal proceeding is not arbitration after previously attempting to confirm the appraisal award in the Superior Court under that same theory.\u00a0The Supreme Court affirmed the order of the Superior Court.<\/p>\n The New York Standard Fire Insurance Policy has been the foundation for insurance policies insuring against the risk of lost to real or personal property and, followed and adopted across the country. It, and almost all property policies, contain an appraisal clause as a prompt means of conflict resolution. In this case, one of the appraisers had an assignment of the insured\u2019s claims against the insurer and was interested in the result of the appraisal. The Supreme Court found that the appraisal is subject to New Hampshire\u2019s Arbitration Act as an arbitration and affirmed the Superior Court because of the plaintiff\u2019s appraiser\u2019s interest in the proceeds.<\/p>\n Please tell your friends and colleagues about this blog and the videos and let them subscribe to the blog and the videos.<\/p>\n Subscribe to my substack at https:\/\/barryzalma.substack.com\/subscribe<\/a><\/p>\n Go to X @bzalma; Go to Newsbreak.com https:\/\/www.newsbreak.com\/@c\/1653419?s=01;<\/a> Go to Barry Zalma videos at Rumble.com at https:\/\/rumble.com\/account\/content?type=all;<\/a> Go to Barry Zalma on YouTube- https:\/\/www.youtube.com\/channel\/UCysiZklEtxZsSF9DfC0Expg<\/a><\/p>\n Go to the Insurance Claims Library \u2013 https:\/\/lnkd.in\/gwEYk<\/a><\/p>\nFACTS
<\/span><\/strong><\/h2>\nTHE APPRAISAL CLAUSE<\/span><\/strong><\/h2>\n
DISCUSSION<\/span><\/strong><\/h2>\n
(c) 2025 Barry Zalma & ClaimSchool, Inc.<\/p>\nLike this:<\/h3>\n