STORY FROM: Reinsurance & Arbitration

Mass. Federal Judge Denies John Hancock’s Request to Remove Arbitrator Before Issuance of Award

BOSTON — A Massachusetts federal judge has denied John Hancock Life Insurance Co.’s petition to remove a reinsurer’s party-appointed arbitrator on the basis of qualification, explaining that the Federal Arbitration Act does not allow a party to challenge an arbitrator until after a final award has been issued.

In a June 21 order, Judge Denise Casper of the U.S. District Court for the District of Massachusetts rejected John Hancock’s assertion that the FAA includes an exception that permits pre-award removal where the challenge is based upon contract-based qualifications.

Employers Reassurance Corp. reinsured certain of John Hancock’s policies under a July ...

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