STORY FROM: Reinsurance & Arbitration
Federal Judge Confirms Awards in EMLICO Redomestication Dispute
June 5, 2008
NEW YORK - In the long-running dispute over coverage for General Electric Co.'s environmental and asbestos claims, a New York federal judge confirmed two arbitration awards that deny a reinsurer's claim for rescission. OneBeacon Insurance Co. v. David E.W. Lines, et al., No. 1:03-07376 (S.D. N.Y.).
Judge Thomas P. Griesa of the U.S. District Court for the Southern District of New York ruled on May 31 that it would be "highly inequitable" to vacate the awards and prohibit further arbitration of the environmental claims. He determined that the reinsurer, Commercial Union Insurance Co. (now OneBeacon America Insurance Co.), was not ...