STORY FROM: Reinsurance & Arbitration

Neb. Appeals Court Upholds Dismissal of Applied Underwriters Dispute

OMAHA, Neb. — A Nebraska appeals court has upheld dismissal of an action arising from Applied Underwriters Inc.’s workers’ compensation program, ruling that personal jurisdiction is lacking because the policyholder is a California corporation with California employees.

In a Feb. 12 opinion, the Nebraska Court of Appeals affirmed that while the policyholder had the requisite contacts with Nebraska, it would not be fair to exercise jurisdiction over the insured because California law applies to the dispute.

Applied Underwriters Captive Risk Assurance Co., a subsidiary of Applied Underwriters Inc. (AUI), sued E.M. Pizza Inc. in the Douglas County (Neb.) District Court ...

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