Board of Educ. of Cent. School Dist. No. 2, Towns of Huntington, Suffolk County, and Oyster Bay, Nassau County v. Hanover Ins. Co.

• Decision Date: 10 June 1965
• Citation: 261 N.Y.S.2d 298,16 N.Y.2d 673,209 N.E.2d 288
• Parties: , 209 N.E.2d 288 Application for Stay of Arbitration of Certain Differences between BOARD OF EDUCATION OF CENTRAL SCHOOL DISTRICT NO. 2, TOWNS OF HUNTINGTON, SUFFOLK COUNTY, AND OYSTER BAY, NASSAU COUNTY, New York, Respondent, and The HANOVER INSURANCE COMPANY et al., Appellants.
• Court: New York Court of Appeals Court of Appeals

Page 298

261 N.Y.S.2d 298

16 N.Y.2d 673, 209 N.E.2d 288

Application for Stay of Arbitration of Certain Differences

between BOARD OF EDUCATION OF CENTRAL SCHOOL DISTRICT NO. 2,

TOWNS OF HUNTINGTON, SUFFOLK COUNTY, AND OYSTER BAY, NASSAU

COUNTY, New York, Respondent,

and

The HANOVER INSURANCE COMPANY et al., Appellants.

Court of Appeals of New York.

June 10, 1965.

Appeal from Supreme Court, Appellate Division, Second Department, 22 A.D.2d 936, 256 N.Y.S.2d 557.

Proceeding by the Board of Education of Central School District No. 2 in Suffolk and Nassau Counties, to stay the proposed arbitration of disputes between the Board and the general contractor and its surety, arising out of a contract between the Board and a general contractor for the construction of a high school.

From an order of the Supreme Court, Nassau County, granting the petition and staying them from proceeding to arbitrate pursuant to their prior written demand for arbitration, the general contractor and surety appealed. The application was made and granted primarily on the grounds: (a) that arbitration is barred by reason of failure of the parties seeking arbitration to comply with Section 3813 of the Education Law, Consol.Laws, c. 16, which requires that notice of a claim be presented to the Board of Education 'within three months after the accrual of such claim;' and (b) that compliance with this requirement is a condition precedent to arbitration.

The Appellate Division affirmed the order and the contractor and surety appealed.

Spencer & Tunstead, New York City (Richard H. Tunstead, Frank N. Beckwith, New York City, of counsel), for appellants.

Emanuel Becker, New York City, Charles W. Root, Northport, for respondent.

Order affirmed, with costs. (Matter of Board of Education, Union Free School District No. 7 (Heckler Elec. Co.), 7 N.Y.2d 476, 199 N.Y.S.2d 649, 166 N.E.2d 666).

All concur.