Counterclaims Barred by Res Judicata, National Indemnity Argues

NEW YORK - National Indemnity Co. asserts that res judicata and collateral estoppel bar counterclaims accusing it of scheming to control the runoff of Seaton Insurance Co. and Stonewall Insurance Co. in order to profit at the expense of the insurers and their owners. National Indemnity Co. v. Greenwich Street Investments II, No. 08-4067, S.D. N.Y.).

The counterclaims, brought by Dukes Place Holdings, GCS Partners and Greenwich Street Investments in the U.S. District Court for the Southern District of New York, accuse NICO of entering into a secret "side agreement" with a runoff manager to fraudulently gain control of Seaton …