SAN JUAN, Puerto Rico — In its surreply, an insurer asks in an April 12 surreply that a Puerto Rico federal judge reject a reinsurer’s motion to dismiss or compel arbitration of the insurer’s lawsuit regarding hurricane losses, citing its potential rehabilitation proceedings (Integrand Assurance Co. v. Everest Reinsurance Co., et al., No. 19-01111, D. Puerto Rico).
NEW YORK — A New York justice on April 1 granted an insured’s motion to dismiss an insurer’s declaratory judgment suit arising out of coverage for underlying asbestos claims after determining that the insurer failed to provide any evidence that it is entitled to reimbursement of defense costs paid on behalf of the insured based on the insured’s settlement with a liquidator handling the insolvency of another insurer (Zurich American Insurance Co. v. Blackman Plumbing Supply Co. Inc., No. 650059/2018, N.Y. Sup., New York Co., 2019 N.Y. Misc. LEXIS 1694).
TALLAHASSEE, Fla. — A claims bar date was issued for March 15 in the receivership proceedings for Universal Health Care Insurance Co. Inc. (UHCIC) and Universal Health Care Inc. (UHC), a Florida trial judge said in an order issued the same day (In re: The receivership of Universal Health Care Insurance Company Inc., No. 2013-CA-00358 & In re: The receivership of Universal Health Care Inc., No. 2013-CA-00375, Fla. Cir., Leon Co., 2nd Jud.).
COLUMBIA, S.C. — A South Carolina federal judge on April 11 denied a bank’s motion for partial summary judgment seeking an imposed cap on damages in a dispute over the bank’s alleged breach of duties as trustee of a reinsurance trust for an insolvent insurer (Accident Insurance Company Inc. v. U.S. Bank National Association, et al., No. 16-2621, D. S.C., 2019 U.S. Dist. LEXIS 62308).
NEW YORK — A New York federal judge on April 11 issued reasons for a “bottom-line” order dismissing a first amended complaint’s claims for aiding and abetting breach of fiduciary duty and aiding and abetting fraud filed by two hedge funds’ liquidators (Martin Trott, et al. v. Platinum Management [NY] LLC, et al., No. 18-10936, S.D. N.Y., 2019 U.S. Dist. LEXIS 62745).
HACKENSACK, N.J. — A New Jersey pedestrian alleges in an April 8 complaint in a state trial court that the New Jersey Property-Liability Insurance Guaranty Association (NJPLIGA) is responsible for medical expenses incurred in an accident with a negligent unknown driver (Jonathan Frias-Rivas v. New Jersey Property-Liability Insurance Guaranty Association, et al., No. BER-L-002686-19, N.J. Super., Bergen Co.).
ST. LOUIS — A beneficiary to preneed cemetery trust argues on April 5 to a Missouri federal judge that the special deputy receiver (SDR) for three insolvent insurers does not establish that a merchandise and services trust has belonged to the estate from the beginning of the receivership proceeding while a trustee on the same day did not dispute the SDR (Winner Road Properties LLC v. BMO Harris Bank, N.A. v. Jo Ann Howard & Associates, P.C., No. 16-1395, E.D. Mo.).
HARRISBURG, Pa. — A Pennsylvania judge on April 5 approved final omnibus notices of determinations (NODs) made by Reliance Insurance Co.’s liquidator that have been issued to guaranty associations (GAs) to resolve all the claims submitted by those individual GAs (In re: Reliance Insurance Co. in liquidation, No. 1 REL 2001, Pa. Cmwlth.).
RIVERSIDE, Calif. — A California federal judge awarded attorney fees of $117,335.50 on March 12 to an insolvent surety after previously granting summary judgment to the surety in its reimbursement dispute against contractors (Western Insurance Co. in liquidation v. Frontier Homes LLC., et al., No. 17-2181, C.D. Calif.).
NEW YORK — In a first amended complaint filed April 1 in a New York federal court, a receiver for funds seeks redress “for the innocent investors and creditors of her estate” damaged by unlawful and tortious acts with regard to a “massive fraudulent scheme masterminded by the now indicted and/or convicted insiders” of Platinum Partners Credit Opportunities Master Fund LP (PPCO funds) (Melanie L. Cyganowski, as equity receiver for Platinum Partners Credit Opportunities Master Fund LP, et al. v. Beechwood Re Ltd., et al., No. 18-12018, S.D. N.Y.).
NEW YORK — Two hedge funds’ liquidators filed a second amended complaint on March 29 after a New York federal judge previously dismissed claims for aiding and abetting breach of fiduciary duties, aiding and abetting fraud and unjust enrichment as to certain defendants (Martin Trott, et al. v. Platinum Management [NY] LLC, et al., No. 18-10936, S.D. N.Y.).
ST. LOUIS — In a breach of fiduciary duty case, the special deputy receiver (SDR) for three insolvent insurers in a March 27 brief tells a Missouri federal judge that a merchandise and services trust has belonged to the estate from the beginning of the receivership proceeding (Winner Road Properties LLC v. BMO Harris Bank, N.A. v. Jo Ann Howard & Associates, P.C., No. 16-1395, E.D. Mo.).
JERSEY CITY, N.J. — A pedestrian seeks judgment against the driver of a vehicle that struck her and against New Jersey’s insurance guaranty association for her personal injuries in a March 26 complaint filed in a New Jersey court (Jaqueline Steuth v. Beatrice V. Borower, et al., No. HUD-L-001217-19, N.J. Super., Hudson Co.).
WILMINGTON, Del. — The Delaware insurance commissioner on March 1 asked a state court to issue a rehabilitation order against reinsurer Scottish Re (U.S.) Inc. (SRUS) (Delaware ex rel. v. Scottish Re [U.S.] Inc., No. 2019-0175-AGB, Del. Chanc.).
NEW YORK — A New York justice on March 21 asked for any interested parties to show cause why an order of liquidation should not be issued against Atlantis Health Plan Inc. (In re Atlantis Health Plan Inc., No. 450297/19, N.Y. Sup., New York Co.).
CHICAGO — An Illinois federal judge on March 22 declined to grant an insolvent insurer’s liquidator’s motion to dismiss or stay a reinsurer’s dispute seeking confirmation of an arbitration award for $437,000 in attorney fees (Catalina Holdings (Bermuda) Ltd. v. Jennifer Hammer, No. 18-5642, N.D. Ill., 2019 U.S. Dist. LEXIS 47783).
COLUMBIA, S.C. — In a dispute over a bank’s alleged breach of duties as trustee of a reinsurance trust for an insolvent insurer, a South Carolina federal judge on March 22 denied summary judgment to the bank on a civil conspiracy claim (Accident Insurance Company Inc. v. U.S. Bank National Association, et al., No. 16-2621, D. S.C., 2019 U.S. Dist. LEXIS 47656).
WILMINGTON, Del. — A Delaware federal judge on March 19 dismissed a conspiracy and unjust enrichment lawsuit filed by the founder of a now-insolvent insurer against individuals involved in the insurer’s liquidation proceeding because the case was “legally frivolous” (Jeffrey Cohen v. Jeffrey Miceli, et al., No. 17-1352, D. Del., 2019 U.S. Dist. LEXIS 45536).
WHITE PLAINS, N.Y. — The successor corporate parent to an insolvent insurer “holds title to, and all reversionary interests in, land and improvements” on two parcels of land, a New York federal judge held March 18, affirming a bankruptcy court’s ruling against the liquidator for Frontier Insurance Co. (FIC) (In re: Frontier Insurance Group Inc., et al.; Benjamin Lawsky v. Frontier Insurance Group LLC, No. 18-3211, S.D. N.Y., 2019 U.S. Dist. LEXIS 43981).
NEW YORK — In a case filed by liquidators for two hedge funds over allegations that the funds’ net asset value was not only insolvent but had liabilities between $400 million and $800 million, a New York federal judge on March 15 decided motions to dismiss aiding and abetting breach of fiduciary duties, aiding and abetting fraud and unjust enrichment claims as to certain defendants (Martin Trott, et al. v. Platinum Management [NY] LLC, et al., No. 18-10936, S.D. N.Y.).