STORY FROM: Reinsurance & Arbitration

$1.5 Million Reinsurance Action Belongs in California, The American Insurance Argues

SAN FRANCISCO — The American Insurance Co. has opposed R&Q Reinsurance Corp.’s motion to dismiss a $1.5 million reinsurance action for lack of jurisdiction, arguing that due to R&Q’s continuous and systematic contacts with California, the court has specific and general jurisdiction over the defendant.

In a July 15 opposition filed in the U.S. District Court for the Northern District of California, TAIC asserted that R&Q Re purposely availed itself to TAIC’s California offices and should have anticipated that disputes arising from the reinsurance contracts with TAIC would likely result in a lawsuit in California.

TAIC insured GM under several ...

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