Judge Dismisses $45 Million Action To Allow Mediation, Arbitration

HOUSTON - A Texas federal judge has dismissed a $45 million coverage action, allowing Huntsman Corp., its captive insurer and several reinsurers to mediate or arbitrate the dispute, which arose from a 2006 explosion at Huntsman's Texas plant. Huntsman Corp. v. International Risk Insurance Co. v. ACE American Insurance Co., No. 4:08-cv-01542 (S.D. Texas).

In a Feb. 19 order, Judge Lee H. Rosenthal of the U.S. District Court for the Southern District of Texas granted the motion to dismiss with prejudice, which was filed by Huntsman Corp., International Risk Insurance Co., Ace American Insurance Co., AIG Casualty Co., Allianz Global …