Preview: LexisNexis® Mealey's™ Reinsurance Legal News
LexisNexis® Mealey's™ Reinsurance Legal News
Headline Reinsurance Legal News from LexisNexis®
Judge: OK To Register Arbitration Award Ruling In California Federal Court
NEW YORK - A federal judge in New York on Dec. 3 granted a pair of judgment creditors' motion to register a New York federal court's earlier order in a federal court in California where the party owing a $7.8 million arbitration award allegedly has substantial property (AmTrust North America, Inc. and Technology Insurance Company, Inc., as judgment creditors of Pacific Re, Inc. on behalf of its protected cell Pac Re 5-AT v. Safebuilt Insurance Services Inc., No. 16-cv-06033, S.D. N.Y.).
Judge Wants Input About Proposed Sealing Of Arbitration-Related Petition
NEW YORK - A federal judge in New York on Dec. 23 issued an order to show cause, asking for input regarding a motion to seal certain documents related to a petition to confirm an arbitration award (OneBeacon Insurance Company v. Certain Underwriters at Lloyd's London, No. 16-cv-09908, S.D. N.Y.).
Liquidator Of Insolvent Insurer Asks For Reinsurance Commutation Agreement OK
CONCORD, N.H. - The liquidator of an insolvent insurer asked a New Hampshire court on Dec. 16 to approve a reinsurance commutation agreement that will provide an undisclosed net settlement sum to the liquidation estate (In the Matter of the Liquidation of The Home Insurance Company, No. 03-E-0106, N.H. Sup., Merrimack Co.).
Judge OKs Insurer/Reinsurer Stipulation On Handling Of Confidential Materials
BOSTON - A federal judge in Massachusetts on Dec. 28 approved a stipulation between an insurer and reinsurer regarding confidential materials and cautioned that the burden of proving the need for confidentiality falls to the impoundment-seeking party (Lamorak Insurance Company v. Everest Reinsurance Co., No. 15-cv-13425, D. Mass.).
Reinsurer Says It Does Not Have Some Of The Discovery Information Requested
SYRACUSE, N.Y. - A reinsurer told a federal court in New York on Dec. 30 that an insurer's request regarding testimony from its corporate designee is improper because among other reasons, the reinsurer says, it does not have the information the insurer seeks (Utica Mutual Insurance Company v. R&Q Reinsurance Company, No. 15-cv-00270, N.D. N.Y.).
Insurer: Arguments Made By Reinsurer Regarding Jurisdiction Are Invalid
SAN FRANCISCO - An insurer argued in a federal court in California on Dec. 20 that its reinsurer's "first-to-file" argument is invalid because the reinsurer did not raise that defense in a previous motion to dismiss the insurer's breach of contract suit (The American Insurance Co. v. R&Q Reinsurance Co., No. 16-3044, N.D. Calif.).
Magistrate Judge Instructs Insurer, Reinsurer About Allowed Discovery
SYRACUSE, N.Y. - A federal magistrate judge in New York on Dec. 8 granted in part an insurer's and a reinsurer's motions to compel discovery information from each other regarding alleged obligations under certain reinsurance agreements (Utica Mutual Insurance Company v. Century Indemnity Company, No. 13-cv-00995, N.D. N.Y.).
Reinsurer Says It Has No Contractual Relationship With Insolvent Insurer
NEW YORK - A reinsurer told a federal court in New York on Nov. 29 that an insolvent insurer's claims against it are baseless because a different party allegedly assumed its corporate predecessor's obligations under certain reinsurance agreements (Roger A. Sevigny, the Commissioner of Insurance of the State of New Hampshire, as Liquidator of The Home Insurance Company v. Trygvesta Forsikring A/S, as successor in interest to Skandinavia Insurance Company Ltd., No. 16-cv-04874, S.D. N.Y.).
Judgment Debtor Tells Court It Is Appealing Order That It Pay Arbitration Award
NEW YORK - A judgment debtor told a federal court in New York on Dec. 2 that it is appealing a $7.8 million judgment against it related to a reinsurance participation agreement that the judgment debtor claimed it was not a party to (AmTrust North America, Inc. and Technology Insurance Company, Inc., as judgment creditors of Pacific Re, Inc. on behalf of its protected cell Pac Re 5-AT v. Safebuilt Insurance Services Inc., No. 16-cv-06033, S.D. N.Y.).
Alleged Reinsurer Says Dispute Regarding Proper Parties Is For Arbitrators
NEW YORK - An alleged reinsurer told a federal court in New York on Dec. 13 that an arbitration panel, and not the court, should decide the proper parties to a workers' compensation reinsurance coverage dispute (In the Matter of the Arbitration Between National Union Fire Insurance Company of Pittsburgh, PA v. Federal Insurance Company, No. 16-cv-08821, S.D. N.Y.).
Insurer Says Arbitration Umpire Was Biased In Favor Of Reinsurer
NEW YORK - A Brazilian reinsurer argued in the Second Circuit U.S. Court of Appeals on Oct. 21 that the umpire in an international arbitration was biased in favor of a retrocessional-reinsurer and that a number of awards should therefore be vacated (National Indemnity Company v. IRB Brasil Resseguros S.A., No. 16-1267, 2nd Cir.).
Insurer, Reinsurer Ask Court To Stay Case So They Can Formalize Settlement
SYRACUSE, N.Y. - An insurer and its reinsurer jointly asked a federal court in Massachusetts on Dec. 12 stay their breach of contract dispute so they can have time to convert their agreement in principle into a written settlement agreement (OneBeacon America Insurance Company v. Transatlantic Reinsurance Company, No. 14-cv-14067, D. Mass.).
Insurer Says Reinsurer Owes It $350,000 And Has Breached Treaty
MONTGOMERY, Ala. - An insurer told a federal court in Alabama on Dec. 7 that its reinsurer paid it $350,000 less than what is owed under a casualty excess-of-loss reinsurance treaty (Alabama Municipal Insurance Corporation v. Munich Reinsurance America, Inc., No. 16-cv-00948, M.D. Ala.).
Judge: Borrowers Sued Bank Over Alleged Reinsurance Kickbacks Too Late
PITTSBURGH - A federal judge in Pennsylvania granted summary judgment to Bank of America on Nov. 22, holding that the statute of limitations had passed before a group of mortgage borrowers sued the bank for alleged mortgage insurance reinsurance kickbacks (William Weiss, et al. v. Bank of America Corporation, et al., No. 15-cv-00062, W.D. Pa.; 2016 U.S. Dist. LEXIS 161665).
Reinsurer Wants Agreement Terminated And International Arbitration Stayed
NEW YORK - A German reinsurer argues in a Nov. 22 amended complaint in a federal court in New York that a reinsurance agreement should be rescinded over the alleged lack of mutual assent regarding the underlying insurance policy (HDI Global SE v. Lexington Insurance Company, No. 16-cv-07241, S.D. N.Y.).
Reinsurer Says It May Need To Depose 20 Current And Former Insurance Employees
SYRACUSE, N.Y. - A reinsurer asked a federal court in New York on Nov. 28 to intervene in a number of discovery disputes with an insurer, notably asking that the court allow it to depose up to 20 current and former employees and agents of the insurer (Utica Mutual Insurance Company v. R&Q Reinsurance Company, No. 15-cv-00270, N.D. N.Y.).
Reinsurer Says Court Lacks Jurisdiction To Hear Breach Of Contract Case
SAN FRANCISCO - A reinsurer tells a federal court on California in a Nov. 15 motion that the court should dismiss a case brought by a reinsured because, among other reasons, the reinsurer filed a similar suit against the reinsured in another federal court two months before the instant suit was brought (The American Insurance Co. v. R&Q Reinsurance Co., No. 16-3044, N.D. Calif.).
Ex Parte Communications in Arbitration and Their Consequences
By Robert M. Hall I. Introduction Arbitration panels commonly adopt rules pertaining to ex parte communications concerning: (a) the time periods within which counsel may communicate with their party arbitrators; (b) counsel copying opposing counsel and party arbitrators on communications with the umpire; (c) party arbitrators copying the opposing party arbitrator on communications with the umpire; and (d) the umpire copying both party arbitrators on internal panel communications and both counsel and both party arbitrators on external communications. A common version of such rules has been codified in the ARIAS Code of Conduct, Cannon V. Notwithstanding some recent, well-publicized cases involving ex parte communications, the consequences of such communications are not well understood. The purpose of this article is to explore selected case law dealing with the consequences of ex parte communications.