Search Results for: new york

Canal Ins. Co. v. Montello, Inc. et. al. (United States District Court, Northern District of Oklahoma, September 26, 2011)

This environmental reinsurance action stems from the use of asbestos containing materials in the drilling mud distributed by Montello.  Specifically, Montello was the distributor of products used in the drilling industry.  One of its products was a drilling mud that contained asbestos.  Defendant Montello was sued by numerous individuals who were allegedly exposed to asbestos through Montello’s products.  Thereafter, Montello sought coverage from the group of …

In re Liquidation of Midland Ins. Co.  (N.Y. App. Div. (1^st Dept.) Aug. 25, 2011)

A New York appellate court recently refused to modify an injunction against bankrupt insurer Midland Insurance Company to permit its reinsurer to assert a breach-of-contract claim against its liquidator.

A New York court placed Midland in liquidation in 1986 and permanently enjoined the commencement and prosecution of all actions against it. Everest Reinsurance Company had entered into excess of loss reinsurance treaties and facultative reinsurance certificates with Midland for …

Pacific Employers Ins. Co. v. Global Reins. Corp. of Am. (E.D. Pa. May 23, 2011)

In a matter of first impression in Pennsylvania, a federal court in Pennsylvania held that a reinsurer must demonstrate prejudice in order to avoid its coverage obligation based on the cedant’s failure to comply with the reinsurance certificate’s notice provisions. In so holding, the court noted that Pennsylvania law does not favor forfeiture of coverage for a technical breach of the insurance contract, a maxim that also applies in the …

Employers Ins. Co. of Wausau v. Munich Reins. Am., Inc. (S.D.N.Y. May 16, 2011)

The district court for the Southern District of New York recently held that the issue of whether a law firm should be disqualified from representing a reinsured where the same law firm represented the reinsurer in a prior matter is one for the judiciary, not the arbitrators. The court found that the law firm was not disqualified from representing the reinsured in a subsequent arbitration because the two matters where not …

ACE Property & Casualty Insurance Co. v. Global Reinsurance Corp. of America (U.S. District Court, E.D. PA)

In a case removed to federal court from a Pennsylvania state court, a Pennsylvania excess insurer recently filed a claim against a New York reinsurer in a dispute over its obligations under a facultative reinsurance contract.  Unlike a typical treaty reinsurance contract, which reinsures multiple insurance policies written under certain circumstances, a facultative reinsurance contract reinsures a specific insurance policy.  The parties entered into such an agreement to …

White Mountains Reinsurance Co. of America v. Travelers Cas. & Surety Co., Case No. 11 Civ. 390 (DLC) (S.D.N.Y., Apr. 13, 2011)

White Mountains filed an action against Travelers in the Supreme Court of New York, New York County, seeking a declaratory judgment and alleging breach of contract in connection with certain reinsurance contracts. Travelers removed the matter to federal court based on diversity jurisdiction, then moved to transfer the action, pursuant to 18 U.S.C. § 1404, to the District of Connecticut where Travelers …