Cavell May Pursue Suit Against Seaton, Stonewall

LONDON - An English justice has ruled that two insurers breached a settlement agreement between their owner and claims administrator Cavell USA Inc. by bringing fraud claims against the administrator in New York federal court. Cavell USA, et al. v. Seaton Insurance Co., et al., No. 07-1566 (Eng. Comm., Queen's Bench Div.).

Mr. Justice Gross of the English Commercial Court, Queen's Bench Division, held that the settlement agreement called for the English court to have exclusive jurisdiction over all disputes arising out the agreement, including fraud claims. As a result of the Dec. 11 ruling, Cavell USA and its majority …