A physician and his medical practice accused of insurance fraud in post-accident testing cannot compel arbitration, the U.S. Court of Appeals for the Second Circuit held Friday.
The circuit rejected an argument that New York Insurance Law, regulations and a contract arbitration provision all gave Dr. David Mun and Nara Rehab Medical, P.C. the right to arbitrate any dispute over billing. The court noted that the right to arbitrate is not so broad as to mandate it in an action to recover monies procured by fraud.
