ST. LOUIS — A Missouri federal judge on May 16 denied a request to join a special deputy receiver for three insolvent insurers to a breach of fiduciary lawsuit against a trustee for its role on pre-need funeral contracts because the trustee does not state in what capacity it would like to join the receiver (Winner Road Properties LLC v. BMO Harris Bank, N.A., No. 16-1395, E.D. Mo., 2018 U.S. Dist. LEXIS 82331).
HOUSTON — In an oil company’s dispute over indemnity for an injured worker’s claims, a Texas appeals panel found May 1 that a genuine fact issue exists on whether a lower court was negligent in providing notice of dismissal of the dispute following the oil company’s pursuit of a claim in an insurer’s liquidation (Marathon Petroleum Company LP v. Cherry Moving Company Inc., No. 14-16-00634-CV, Texas App., 14th Dist., 2018 Tex. App. LEXIS 3049).
WILMINGTON, Del. — A fraud lawsuit filed by the former owner of an insolvent insurer who is serving a sentence for wire fraud and aggravated identity theft against the Delaware insurance commissioner is “frivolous and cannot be sustained,” a Delaware federal judge ruled May 8 (Jeffrey Cohen v. Trinidad Navarro, No. 17-1352, D. Del., 2018 U.S. Dist. LEXIS 77691).
NEWARK, N.J. — A New Jersey woman on May 4 filed a personal injury lawsuit on behalf of herself and her son against the state’s insurance guaranty association for injuries sustained as pedestrians caused by an unidentified motor vehicle (Marianela Lucero v. New Jersey Property Liability Insurance Guaranty Association, et al., No. ESX-L-003210-18, N.J. Super., Essex Co.).
NEWARK, N.J. — A New Jersey woman filed a personal injury lawsuit on April 26 against the state’s insurance guaranty association in a New Jersey trial court, seeking uninsured motorist bodily injury benefits (Rosa Evelia Navas v. Jeanette Valentin, et al., No. ESX-L-002996-18, N.J. Super., Essex Co.).
RICHMOND, Va. — A Fourth Circuit U.S. Court of Appeals panel on April 25 affirmed a federal judge in Maryland’s imposition of a 37-year prison sentence for the former owner of an insolvent insurer who pleaded guilty to wire fraud, aggravated identity theft, making false statements to insurance regulators and obstruction of justice, finding that an appeal waiver in his plea bargain barred most of his objections to the sentence (United States of America v. Jeffrey Brian Cohen, No. 15-4780, 4th Cir., 2018 U.S. App. LEXIS 10437).
HARRISBURG, Pa. — The liquidator for Reliance Insurance Co. on April 17 filed an application with a Pennsylvania trial court requesting approval of her recommendation on final guaranty association (GA) omnibus notices of determination (NODs) (In re: Reliance Insurance Co. in liquidation, No. 1 REL 2001, Pa. Cmwlth.).
WEST PALM BEACH, Fla. — An $800,000 judgment against the Florida Insurance Guaranty Association Inc. (FIGA) in a hurricane coverage dispute was affirmed on March 8 by a Florida appeals panel (Florida Insurance Guaranty Association Inc. v. Environ Condominium II Association Inc., No. 4D17-353, Fla. App., 4th Dist., 2018 Fla. App. LEXIS 3473).
NEW YORK — A New York justice on April 12 ordered parties interested in Lincoln General Insurance Co.’s ancillary receivership proceeding to show cause for any objections to an ancillary receiver’s adjudication procedure and appointment of a referee to oversee objections to denied claims (In re Lincoln General Insurance Co., No. 450003/2016, N.Y. Sup., New York Co.).
WHITE PLAINS, N.Y. — A New York trial justice ordered parties on April 9 to show cause why Touchstone Health HMO Inc. should not be placed into liquidation (In re Touchstone Health HMO Inc., No. 54964/2018, N.Y. Sup., New York Co.).
OKLAHOMA CITY — An Oklahoma judge on April 20 approved the state insurance commissioner’s recommendation denying claims in the liquidation of Pride National Insurance Co. (Oklahoma v. Pride National Insurance Co., No. CJ-2013-1448, Okla. Dist., Okla. Co.).
SAN FRANCISCO — Noting that the parties resolved the case, a California federal judge on April 3 dismissed a coverage dispute between an injured driver and her auto insurer for personal injuries from an accident, a week after the parties wrote to him on whether an at-fault driver’s insurer was insolvent within a timeframe for the injured to qualify as an underinsured motorist (Monique Arreola v. MAPFRE Insurance Co., No. 17-05642, N.D. Calif.).
COLUMBIA, S.C. — A bank being sued for its role as trustee of a reinsurance trust for an insolvent insurer argues on April 16 that a South Carolina federal court should decline to allow the insolvent insurer to amend its complaint to add a civil conspiracy claim (Accident Insurance Company Inc. v. U.S. Bank National Association, et al., No. 16-2621, D. S.C.).
NEWARK, N.J. — A New Jersey woman filed a personal injury lawsuit April 13 in a New Jersey trial court against the state’s insurance guaranty association for damages caused when an unidentified vehicle struck her while she was crossing the street (Anita Strickland v. New Jersey Property Liability Guaranty Association, et al., No. ESX-L-002649-18, N.J. Super., Essex Co.).
RALEIGH, N.C. — The North Carolina Supreme Court on April 5 declined to review a ruling that the bar date and the statute of repose under North Carolina law do not violate the North Carolina or U.S. constitutions, “either facially or as applied” to a claimant filing a workers’ compensation claim with the North Carolina Insurance Guaranty Association (NCIGA) (Thelma Bonner Booth, et al. v. Hackney Acquisition Co., et al., No. 402P17, N.C. Sup., 2018 N.C. LEXIS 269).
ROME, N.Y. — A New York justice on March 7 ruled that a cedent is not entitled to asbestos loss and expenses beyond the stated coverage amount set forth in reinsurance certificates issued by members of a reinsurance pool (Utica Mutual Insurance Co. v. Abeille General Insurance Co., et al., No. CA2013-002320, N.Y. Sup., Oneida Co.).
AUSTIN, Texas — Access Insurance Co. was ordered into liquidation on March 13 by a Texas trial judge, and the Texas insurance commissioner was named liquidator (The Texas Department of Insurance v. Access Insurance Co., No. D-1-CN-18-001285, Texas Dist., Travis Co., 261st Jud.).
LAS VEGAS — A Nevada federal judge on March 30 dismissed a defunct health insurer’s case for lack of subject matter jurisdiction because the monetary relief sought against the United States is available through the Court of Federal Claims (Barbara D. Richardson v. U.S. Department of Health and Human Services, et al., No. 17-775, D. Nev., 2018 U.S. Dist. LEXIS 54065).
LOS ANGELES — A bank sued the liquidator of an insolvent medical professional liability insurer on April 4 in a California federal court, seeking reimbursement under a letter of credit issued to the insurer to stay enforcement of an underlying $2.5 million medical malpractice judgment (MUFG Union Bank, N.A. v. Steven C. Taylor, No. 18-02772, C.D. Calif.).
CHICAGO — The city of Chicago, as a self-insured workers’ compensation carrier, is barred from asserting a subrogation claim against an employee’s third-party settlement proceeds paid by the Illinois Guaranty Fund on behalf of an insolvent insurer, an Illinois appeals panel held March 28 (Darryl L. Heard v. Chicago, No. 1-17-1076, Ill. App., 1st Dist., 3rd Div., 2018 Ill. App. Unpub. LEXIS 513).