New York Litigation Shift with Signing of AVOID Act

March 19, 2026

New York civil litigation attorneys are preparing for a significant shift as the Avoiding Vexatious Overuse of Impleading to Delay Act (the “AVOID Act”) takes effect. The legislation amends New York Civil Practice Law and Rules 1007 and imposes strict, shorter timelines for bringing third-party claims in civil litigation.

New York Governor Kathy Hochul signed the AVOID Act into law on December 19, 2025. It is scheduled to take effect on April 18, 2026. It is important to note that the statute is expected to apply not only to cases filed after the effective date, but also to pending litigation that has not yet reached final disposition.

The AVOID Act was drafted in response to longstanding concerns that defendants were adding third-party defendants late in litigation, sometimes years after a case was filed. This often led to reopened depositions, expanded discovery demands, delays, and an increased cost in litigation.

Key Changes in the AVOID Act

• Under the amended rules, a defendant looking to enforce contractual rights against a third party must commence the third-party action within 60 days following the serving of an answer.
• Additionally, third-party defendants will now have a shorter period to file their own third-party actions. Beginning April 18, third-party defendants will have just 45 days after service of an answer to a third-party defendant. That timeline shrinks to 30 days for an additional third-party action, and just 20 days following the service for any additional third-party claims.
• No third-party actions can be filed once the note of issue is filed.

The Act does offer limited opportunities to extend these deadlines:

• 30-day extension without a court order if the request is made within 12 months of the answer being filed
• A request for an extension beyond the 12-month period requires the plaintiff and the court to provide written consent.

The biggest takeaway from the implementation of the AVOID legislation is that attorneys, clients, and insurers will have to give immediate consideration to litigation strategies when it comes to third party liability claims.

David Elibol is the Managing Attorney of Gross Shuman P.C.  He can be reached at: 716.854.4300 ext. 201 or, [email protected]