Church Mut. Ins. Co. v. Kleingardner
This case involves Church Mutual Insurance Company (Petitioner) and Charles Kleingardner (Respondent) regarding an underinsurance arbitration award following a motor vehicle accident. Kleingardner, injured while working for St. Peter's and Paul's Russian Orthodox Church, sought to confirm an arbitration award and claim interest. Church Mutual argued accord and satisfaction due to Kleingardner accepting payment, but Kleingardner endorsed the check "under protest." The Supreme Court, Oswego County, ruled that the restrictive endorsement negated the defense of accord and satisfaction, citing UCC § 1-207 and Horn Waterproofing Corp. v Bushwick Iron & Steel Co. The court confirmed the arbitrator's March 3, 2003 award for $725,000, along with statutory interest from the award date to the date payment was tendered (May 21, 2003).