CONCORD, N.H. — The New Hampshire Supreme Court on Aug. 12 affirmed a superior court’s approval of a claim amendment deadline in an insolvent insurer’s liquidation proceeding, finding that the superior court “acted within its discretion” in approving the claim amendment deadline because of the lengthy time the insurer has been in liquidation and because the insurer is not able ‘“to pay all policyholder claimants in full, and it will be unable to issue final disbursements to policyholder claimants until a claim amendment deadline is approved.”
SAN FRANCISCO — Seeking reversal of a decision denying modification of a final pretrial order (PTO), mortgagors in a long-running Real Estate Settlement Procedures Act (RESPA) class action over captive reinsurance agreements argue in a July 25 appellant brief before the Ninth Circuit U.S. Court of Appeals that a California federal court’s ruling “resulted in manifest injustice and was tantamount to case-ending sanctions.”
LOS ANGELES — Parties in a suit alleging breach of reinsurance contracts over billings for claims related to asbestos and other issues have negotiated a stipulation that “substantially narrows the range of disputes” and want the court to maintain its stay of all proceedings until Oct. 10 so they can attempt mediation, they told a California court in an Aug. 10 joint status report.
GREENSBORO, N.C. — Alleging, with emphasis added, that an actuary “conspired with others to harm” North Carolina Mutual Life Insurance Co. and in so doing sent an email saying “‘please pillage in moderation,’” the company on June 30 filed a suit in North Carolina federal court asserting nine claims, including Racketeer Influenced and Corrupt Organizations Act (RICO) violations and fraud.
MONTGOMERY, Ala. — Between July 19 and Aug. 10, parties in a breach of contract dispute over reinsurance billings submitted a variety of filings in Alabama federal court, including the insurer’s opposition to summary judgment, the insurer’s motion to dismiss some counterclaims and the reinsurer’s opposition to dismissing those counterclaims.
BOSTON — Denying a motion to dismiss the first amended complaint (FAC) in a declaratory judgment suit regarding a stock purchase agreement (SPA) and reinsurance agreement, a Massachusetts federal judge on Aug. 9 called the FAC “somewhat cryptic” but ruled that the action is ripe and declined to dismiss the claims under the Declaratory Judgment Act.
NEW YORK — More than four months after a notice of unspecified settlement was filed in a suit in New York federal court over collateral obligations under a reinsurance agreement, the parties on Aug. 5 stipulated to the withdraw of an appeal, and a Second Circuit U.S. Court of Appeals mandate was issued Aug. 8.
WILMINGTON, Del. — The receiver for Scottish Re (U.S.) Inc. in Rehabilitation (SRUS) and dozens of interested insurers agree that extending the deadline to object to a modified plan of rehabilitation from Aug. 15 to Oct. 1 “may aid to resolve or narrow objections,” they told a Delaware state court in an Aug. 5 joint stipulation.
BROOKLYN, N.Y. — Following a flurry of motions and orders, trial has started for a former hedge executive regarding an alleged scheme that involved a reinsurer, with the case docket indicating that jury selection began July 27 and opening statements were made Aug. 1.
CINCINNATI — Affirming a ruling that dismissed a suit on the grounds that an arbitrator should decide the question of whether a time-limitation in a medical excess reinsurance agreement applied to the agreement’s arbitration provision, a Sixth Circuit U.S. Court of Appeals panel on July 22 issued an unpublished opinion and judgment.
SAN FRANCISCO — The Ninth Circuit U.S. Court of Appeals on Aug. 1 denied a July 1 petition for panel rehearing and rehearing en banc regarding a ruling that affirmed dismissal under the prior exclusive jurisdiction rule of two suits involving the same insurance conservatorship.
NEW HAVEN, Conn. — Agreeing with a Texas appellate panel, a Connecticut federal judge on July 28 denied a reinsurer’s motion to compel arbitration in litigation between it and three Texas school districts on the grounds that direct-benefits estoppel does not apply.
SHERMAN, Texas — Alleging failure to fully comply with administrative summonses issued during an Internal Revenue Service investigation involving purported “micro-captive” insurance transactions, the U.S. federal government on July 27 petitioned a Texas federal court to enforce those summonses against three entities and the person who is “their owner and/or principal officer.”
WASHINGTON, D.C. — In a recent amicus curiae brief citing “common law tradition,” an assistant professor of law urged the U.S. Supreme Court to grant review sought by two former hedge fund executives convicted of securities fraud in an alleged scheme that involved a reinsurer and related entities; on July 27, the government argued that the petition “arises in an interlocutory posture” and that the challenged ruling “does not conflict with any decision of this Court or another court of appeals.”
SAN ANTONIO — The Longshore and Harbor Workers’ Compensation Act (LHWCA) binds a woman from assigning her right to a future structured settlement payment, a Texas appellate court ruled in a July 27 reversal in what it said was a case of first impression.
DENVER — Arguing that the breach of contract dispute is not “about ‘a complex captive insurance program’” but “an unlicensed insurance company that didn’t pay a claim,” the plaintiffs on July 13 urged a Colorado federal court to deny the defendants’ motion to dismiss or transfer the suit; in a July 27 reply, the defendants argued that the plaintiffs provided no “legitimate basis for disregarding” the policy’s forum-selection provision.
GREENSBORO, N.C. — The former manager of a roughly $34 million reinsurance portfolio pleaded guilty on May 5 to a wire fraud charge in an alleged scheme that resulted in an insurer being placed in rehabilitation; according to the case docket in North Carolina federal court, he is scheduled to be sentenced Sept. 12.
OMAHA, Neb. — In June 24 and July 15 and 25 filings in a Nebraska federal court regarding a case transferred from Pennsylvania, parties in a suit over a program called EquityComp and a reinsurance participation agreement (RPA) dispute a dismissal motion regarding an unjust enrichment claim and a recission claim.
DENVER — In a July 20 minute order, a Colorado federal magistrate judge granted a school district’s motion for leave to add breach of contract claims to its suit over insurers’ alleged failure to reimburse for liability claim settlements; the magistrate judge also denied one motion as moot and denied three others without prejudice to being refiled in light of the amended complaint.
WEST PALM BEACH, Fla. — Ruling that letters outside the pleadings are “more appropriate for consideration on a more fulsome summary judgment record,” a Florida federal judge on July 18 denied motions by the government to dismiss or sever a claim in a tax attorney’s suit alleging that the Internal Revenue Service treated her unfairly, disclosed confidential return information and “has sought to destroy the microcaptive insurance industry.”