STORY FROM: Reinsurance & Arbitration

Ill. Federal Judge Refuses to Transfer $1.5 Million Reinsurance Dispute to California

CHICAGO — An Illinois federal judge has denied without comment The American Insurance Co. request to transfer its $1.5 million reinsurance dispute with R&Q Reinsurance Co. to California.

On July 11, Judge James B. Zagel of the U.S. District Court for the Northern District of Illinois rejected TAIC’s arguments that the action has more of a connection with California because the underlying material events occurred in the Northern District of California and that the witnesses to TAIC’s alleged breach of the reinsurance contracts are located in that district.

R&Q and TAIC are parties to facultative reinsurance certificates under which R&Q ...

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