Description

What Compressed Deadlines Mean for Risk TransferIn this Season 2 premiere of Scandals: Insurance Uncovered, Amy Lamb and Teresa Guertin unpack New York’s newlyenacted AVOID Act and the compressed deadlines now governing third party practice in construction litigation.

Under the new law, defendants have just sixty days to bring contractual indemnity and impleader claims after answeringa complaint. What once allowed flexibility in third party claims strategy is now governed by strict timelines that could reshape how general contractors, subcontractors, carriers, and risk managers approach risk transfer.

But this episode goes beyond a statutory breakdown.

Amy and Teresa explore:

• How compressed impleader deadlines may front load litigation
• Why “kitchen sink” third party actions could increase
• The cost shifting implications for carriers and insureds
• What this means for documentation, site investigation, and contract discipline
• How pending construction litigation may also be affected

Although the AVOID Act is specific to New York, the structural implications reach far beyond one jurisdiction. Compressed timelines force clarity. They expose weak documentation. And they challenge long standing assumptions about how indemnity claims unfold.

As the April 18, 2026 effective date approaches, construction professionals must rethink how quickly indemnity decisions are made.

If you work in construction risk, coverage, claims, or contract management, this conversation is essential listening.

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Resources from this Episode:

New York State Senate — AVOID Act bill text and summaryOfficial legislative language for the Avoiding Vexatious Overuse of Impleading to Delay (AVOID) Act.
New York Senate Bill S8071A (AVOID Act) — Text and Summary

New York Workers’ Compensation Law § 11 — “Grave Injury” definition

The statutory definition of a “grave injury,” which is an exception to certain limitations on indemnity/contribution.
New York Workers’ Compensation Law Section 11 (Grave Injury)

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Have a burning insurance question or a case you want us to dissect? We're all ears! Submit your topics, cases, or anyareas of interest, and let our hosts dive into the details. Reach out to us directly—your suggestion could be featured in an upcoming episode!

Reach us directly at ⁠⁠scandalsinspod@gmail.com⁠⁠

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