NEW YORK — A federal judge in New York on Jan. 5 granted the Securities and Exchange Commission’s request to extend the deadline for a proposed schedule in a lawsuit alleging that two individuals “perpetrated multiple schemes to defraud their advisory clients, which were insurance companies and reinsurance trusts” until March 31 unless the SEC is able to fully resolve the case before that date.
BOSTON — A Massachusetts federal judge on Jan. 20 allowed Certain London Market Company Reinsurers (LMRs) summary judgment only as to a choice-of-law question and a state law claim, otherwise denying summary judgment on the basis of factual questions; in the same ruling, the judge granted a motion by Lamorak Insurance Co. to realign the parties.
DETROIT — After previously telling a Michigan federal judge in a stipulated order that they reached an unspecified settlement in principle, the parties in a reinsurance dispute over asbestos claims on Jan. 20 filed a one-paragraph stipulation of dismissal with prejudice; on Jan. 21, the judge ordered the case closed.
BOSTON — In an unopposed Jan. 18 motion for a status conference, Certain London Market Company Reinsurers (LMRs) seek resolution of “several substantive and procedural questions” ahead of a jury trial scheduled to start March 1 before a Massachusetts federal judge, including issues raised in a pending motion for summary judgment.
LOS ANGELES — A reinsurer’s parent companies are seeking a stay of a suit that alleges that they intentionally interfered with contractual relations and induced breach of contract, telling a California federal court on Jan. 7 that resolution of a related case could make it “entirely moot”; in an opposition filed Jan. 14, insurers argue in part that that the other case wouldn’t be completely dispositive.
TRENTON, N.J. — After the parties in a dispute over indemnification for asbestos bodily injury claims filed a Jan. 14 letter detailing discovery disputes on which they have reached “impasse,” a New Jersey federal magistrate judge on Jan. 18 ordered them to keep trying.
FRESNO, Calif. — In a flurry of filings dated Jan. 3 to Jan. 18 in California federal court, a judge bifurcated the upcoming trial in a long-running class action over captive reinsurance agreements into liability and damages phases and ruled on numerous motions in limine; in that time, the parties also completed briefing in pending motions to strike.
CHICAGO — In a Jan. 18 filing arguing against reconsideration and clarification of a dismissal order, two corporations that an Illinois federal judge ruled are a reinsurer’s agents contend that the “frivolous” motion “contains only misrepresentations masquerading as new evidence and repetitions of arguments already presented to, and rejected by, the Court.”
NEW YORK — In statements dated Sept. 24 and Nov. 22 but filed as part of the public case docket on Jan. 7, the joint provisional liquidators (JPLs) of Bermuda insurer and reinsurer PB Life and Annuity Co. Ltd. (PBLA) and other debtors argue in New York federal bankruptcy court that they are entitled to close to $1 million in attorney fees for work on a motion to compel that was necessitated by “egregious conduct.”
OMAHA, Neb. — Arguing in part that the plaintiffs fail to specify any alleged breach of a reinsurance participation agreement (RPA), defendants in a breach of contract and misrepresentation suit regarding a program called EquityComp on Jan. 7 asked a Nebraska federal court to dismiss the case for failure to state a claim.
SACRAMENTO, Calif. — Arguing in part that an agreement gave it the right to take the challenged actions, Bank of America N.A. (BANA) on Jan. 12 moved in California federal court for dismissal of all claims against it in a putative class action that alleges unfair and deceptive practices connected to home mortgage loan servicing and that a reinsurance program does not serve a legitimate purpose.
FLINT, Mich. — Opposing partial judgment on the pleadings in a suit over indemnification arising from a $9.25 million settlement of sexual misconduct claims, a reinsurer on Jan. 12 told a Michigan federal court that a student’s petitions fit the definition of “claim” under both certificates at issue and that all claims count as a single one made in 2013.
NEW YORK — Citing deficiencies including inadequate description of “the maximum amount of attorney’s fees that class counsel intends to seek,” a New York federal judge on Jan. 11 denied without prejudice a motion for preliminary approval of a class action settlement in a policyholder’s suit over a 2016 cost of insurance (COI) increase for life insurance.
NEW YORK — A reinsurer on Jan. 11 sought rehearing of a Second Circuit U.S. Court of Appeals decision it said was among the industry’s most anticipated in years, arguing that the panel “misapprehended the rationale” of longstanding precedents abandoned in the ruling requiring it to pay defense costs in excess of certificates’ liability limits based on follow-form clauses; alternatively, the reinsurer sought rehearing en banc, arguing that the decision is “the outlier disturbing decades of uniformity.”
CINCINNATI — Arguing that the case “presents a close question on the distinction between procedural and substantive arbitrability,” a health and life insurer on Jan. 10 asked the Sixth Circuit U.S. Court of Appeals to reverse a Michigan federal court’s order dismissing a dispute over a medical excess reinsurance agreement.
NEW YORK — A life insurance policyholder who challenged a 2016 cost of insurance (COI) increase on Jan. 6 moved in a federal court in New York for preliminary approval of a class action settlement; the proposal includes a $92.5 million payment by administrator and reinsurer Lincoln National Corp., a five-year COI freeze and a waiver of policy validity defenses.
NEW YORK — In a Dec. 8 appellant reply brief urging reversal of a New York federal judge’s grant of summary judgment, a reinsurer says that in a different case, the Second Circuit U.S. Court of Appeals rejected the “risk of loss” allocation argument advanced by an excess insurer in the instant dispute over an asbestos claims settlement allocation.
ATLANTA — Oral argument in a dispute between a self-insured intergovernmental risk management association and a reinsurer over issues including duty to defend, possessory interest and the follow-the-fortunes doctrine is tentatively set for the week of April 4 in the 11th Circuit U.S. Court of Appeals, according to a Dec. 21 notice to counsel.
NEW YORK — Letting stand its ruling that vacated both a grant of new trials and a judgment of acquittal by a New York federal court, the Second Circuit U.S. Court of Appeals on Dec. 29 denied petitions for panel rehearing or rehearing en banc from two former hedge fund executives convicted of charges including securities fraud in an alleged scheme that involved a reinsurer and related entities.
FORT MYERS, Fla. — Granting an unopposed motion by a former Markel CATCo Investment Management Ltd. CEO, a Florida federal judge on Dec. 30 stayed a suit until Feb. 18 or the Bermuda Supreme Court’s issuance of a pending decision, whichever comes first; in the suit against the CEO, an LLC alleges fraudulent inducement and negligent misrepresentation in connection with its “losses of nearly $20 million” from a fund “tied to the reinsurance business operated by Markel CATCo Reinsurance Limited.”