Insured May Not Proceed Directly Against Reinsurer
February 5, 2009
DOCUMENTS
- Opinion
NEW YORK - A policyholder may not sue a reinsurer directly to collect on a default judgment rendered against a now-insolvent insurer because the reinsurance contract lacked a "cut-through" clause, the 2nd Circuit U.S. Court of Appeals affirmed Feb. 4. Jurupa Valley Spectrum LLC v. National Indemnity Co., et al., No. 07-3211 (2nd Cir.).
Frontier Insurance Co. issued Jurupa Valley Spectrum LLC surety bonds that were, in turn, reinsured by NICO. In 2002, after the contractor defaulted on the contract covered by the bonds, Jurupa obtained a default judgment from a California state court, which had not been paid because …
UPCOMING CONFERENCES
HarrisMartin's MDL Conference: Video Game Addiction and the Latest Mass Tort Updates
May 29, 2024 - Salt Lake City, UT
The Grand America Hotel
HarrisMartin's Mass Tort Settlements Conference - Sponsored by Milestone
June 27, 2024 - Buffalo, NY
The Richardson Hotel Buffalo