STORY FROM: Reinsurance & Arbitration

Defendants May Assert California Claims in Neb. Applied Underwriters Action

OMAHA, Neb. — A Nebraska federal magistrate judge has allowed the defendants in a case involving a reinsurance participation agreement to amend their counterclaim and cross-claim to allege claims under California law, ruling that Applied Underwriters Captive Risk Assurance Co. will not be prejudiced by such an amendment.

In a May 2 order, Magistrate Judge Susan M. Bazis of the U.S. District Court for the District of Nebraska further found the defendants have shown good cause for filing an amended pleading out of time.

In June 2013, a group of related California investment companies (the “Pitamber entities”) entered into a ...

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