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Insurance Obtained Through Fraud Must Still Cover Innocent Parties
The Superior Court of New Jersey, Appellate Division, has affirmed a summary judgment order requiring a Rhode Island medical malpractice insurance provider to cover any medical malpractice damages awarded to a New Jersey patient, despite the fact that the insured doctor and his medical practice obtained the insurance coverage through a falsehood, and that they were not eligible to obtain that coverage under the terms of the contract. DeMarco v. Stoddard, 2014 N.J. Super. LEXIS 13 (N.J. App. Div. 1/22/14).
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