Injunction Granted To State Farm In Suit Alleging Over $30M In No-Fault Fraud

( May 5, 2026, 4:16 PM EDT) -- BROOKLYN, N.Y. — A New York federal judge granted a motion by State Farm for a preliminary injunction and stay of state no-fault collection arbitrations and state court collection proceedings in a Racketeer Influenced and Corrupt Organizations Act (RICO) suit seeking to recover more than $30 million against a medical practice and its physicians for their alleged role in a purported no-fault fraud scheme, finding that the insurer has shown that it is “likely to suffer irreparable harm by having to submit to hundreds of piecemeal arbitrations and state-court cases that could prevent meaningful litigation” of its fraud claims....