NEW YORK — A New York justice on July 20 refused to stay or sever defendants in a medical malpractice lawsuit following a different state trial court’s liquidation order against a nonparty insolvent insurer of two of the defendants (Joseph Carpentieri v. Stuart Kahn, et al., No. 805068/2017, N.Y. Sup., New York Co., 2018 N.Y. Misc. LEXIS 3132).
OKLAHOMA CITY — An insolvent insurer’s receiver filed a reply on July 20 to an Oklahoma federal court in support of her request to dismiss a party from her negligence lawsuit against reinsurance intermediaries for their alleged negligence in providing reinsurance services to the insurer (Oklahoma, et al. v. Axiom Re LP, et al., No. 17-0484, W.D. Okla.).
ST. LOUIS — In a Missouri federal court dispute over the mishandling of funds belonging to insolvent funeral insurers, a special deputy receiver and state insurance guaranty associations on July 23 objected to a nonparty’s motion to quash documents and, instead, argue that the nonparty should be required to comply with a subpoena (Jo Ann Howard & Associates P.C., et al. v. J. Douglas Cassity, et al., No. 09-01252, E.D. Mo., 2018 U.S. Dist. LEXIS 96627).
DETROIT — In a coverage dispute against an insolvent insurer, a Michigan appeals panel on July 19 declined to allow a truck driver to amend his complaint to reinstate another insurer that was assigned to handle his claim under the Michigan Assigned Claims Plan (MACP) (Nexhmedin Qafleshi v. Lincoln General Insurance Co., et al., No. 335835, Mich. App., 2018 Mich. App. LEXIS 2841).
HARRISBURG, Pa. — A Pennsylvania federal judge on July 18 held that a plausible constitutional question is raised by the recently signed into law Pennsylvania Act 41's “attempted ipse dixit transfiguration” of the Pennsylvania Professional Liability Joint Underwriting Association's “private assets into public property,” finding that the association will incur imminent and irreparable harm if the act is not prohibited from taking effect (Pennsylvania Professional Liability Joint Underwriting Association v. Tom Wolf, No. 18-1308, M.D. Pa., 2018 U.S. Dist. LEXIS 119438).
ST. LOUIS — In a breach of fiduciary duty lawsuit against a special deputy receiver for three insolvent insurers, a bank on July 2 filed a counterclaim and cross-claims in a Missouri federal court, seeking instructions for the administration of trusts on preneed funeral contracts (Winner Road Properties LLC v. BMO Harris Bank, N.A., No. 16-1395, E.D. Mo.).
PIERRE, S.D. — A South Dakota judge on June 27 ordered ReliaMax Surety Co. into liquidation and named the state’s insurance director as liquidator (South Dakota, et al. v. ReliaMax Surety Co., No. 32CIV18-125, S.D. Cir., Hughes Co., 6th Jud.).
PATERSON, N.J. — An injured bicyclist sued the New Jersey Property-Liability Insurance Guaranty Association (NJPLIGA) for personal injury protection (PIP) coverage and bodily injury (BI) benefits on June 25 in a New Jersey trial court (Javier Perez v. New Jersey Property-Liability Insurance Guaranty Association, No. PAS-L-002081-18, N.J. Super., Passaic Co.).
TALLAHASSEE, Fla. — A Florida judge on June 25 authorized an insolvent insurer’s receiver to distribute $1.1 million and to transfer unclaimed distribution amounts to the appropriate divisions of unclaimed property (In re: The receivership of Aequicap Insurance Co., No. 2011-CA-0494, Fla. Cir., Leon Co., 2nd Jud.).
TALLAHASSEE, Fla. — A Florida judge on June 28 approved a motion filed by an insolvent insurer’s receiver of its first final claims report, recommending the distribution of $24.8 million to claimants (In re: The receivership of Universal Health Care Insurance Company Inc., No. 2013-CA-00358, Fla. Cir., Leon Co., 2nd Jud.).
ALBANY, N.Y. — A New York justice on June 20 ordered all claimants and parties interested in the liquidation of Frontier Insurance Co. to show cause why the insurer’s liquidator should not be authorized to sell real property for $3.6 million (In the matter of the liquidation of Frontier Insurance Co., No. 000097/2006, N.Y. Sup., Albany Co.).
ATLANTA — In a reinsurance agreement dispute between a reinsurer and an insolvent insurer, a Georgia federal judge on July 3 administratively closed the case pending arbitration proceedings (Gramercy Insurance Co. v. Contractor’s Bonding Ltd., No. 18-00304, N.D. Ga.).
PATERSON, N.J. — A New Jersey man sued the state’s insurance guaranty association in a New Jersey court on July 11 for personal injuries sustained when he was struck as a pedestrian by a vehicle (Arison Rodriguez v. New Jersey Property-Liability Insurance Guaranty Association, et al., No. PAS-L-002309-19, N.J. Super., Passaic Co.).
TALLAHASSEE, Fla. — Finding that jurisdiction was “improvidently granted,” a majority of the Florida Supreme Court on July 5 discharged jurisdiction and dismissed an insured’s appeal of a lower court’s finding that his post-appraisal submission of increased costs with a state insurance guaranty association in a Hurricane Wilma coverage dispute is not a legally sufficient basis to reopen the appraisal or conduct a new appraisal (Orlando Noa v. Florida Insurance Guaranty Association, No. SC17-738, Fla. Sup., 2018 Fla. LEXIS 1375).
CHICAGO — A liquidation procedure involving a Patient Protection and Affordable Care Act (ACA) nonprofit health insurer is exactly the type of proceeding where Congress defers to states, a federal judge in Illinois held July 2 in once again finding that the case should be remanded (Melissa Dowling v. United States Department of Health and Human Services, No. 17-494, N.D. Ill., 2018 U.S. Dist. LEXIS 110554).
NEW YORK — A New York federal judge issued a stipulated protective order June 20 regarding confidential information in a dispute over reinsurance proceeds allegedly owed to an insolvent insurer (Roger A. Sevigny v. Trygvesta Forsikring A/S, Trygvesta Forsikring A/S v. Cerberus Holding Company LLC, No. 16-04874, S.D. N.Y.).
PHILADELPHIA — An insured and an insolvent insurer settled a breach of contract coverage dispute over underlying personal injury cases involving exposure to silica dust, according to a Pennsylvania federal magistrate judge’s June 25 order (Empire Abrasive Equipment Company LP v. Acceptance Insurance Co., No. 16-6331, E.D. Pa.).
LAKELAND, Fla. — A Florida appeals panel on June 22 affirmed the denial of attorney fees to insureds against the state’s insurance guaranty association in a breach of contract lawsuit (Erick Szrajer, et al. v. Florida Insurance Guaranty Association Inc., No. 2D17-1967, Fla. App., 2nd Dist., 2018 Fla. App. LEXIS 8882).
NEW ORLEANS — In a criminal action over an auditor’s role in the liquidation of an insolvent insurer, a Louisiana federal judge on June 21 denied a defendant’s motion for a certificate of innocence for his conviction for money laundering (United States v. Michael H. O’Keefe Sr., No. 95-106, E.D. La., 2018 U.S. Dist. LEXIS 103893).
HARRISBURG, Pa. — A Pennsylvania trial judge on June 6 approved the report and recommendation of a total allowed amount of $11.3 million for 246 notices of determination (NODs) in the liquidation of Reliance Insurance Co. (In re: Reliance Insurance Co. in liquidation, No. 1 REL 2001, Pa. Cmwlth.).