Judge Confirms Award in RDR Dispute, Says Panel Did Not Exceed Authority

NEW YORK - A New York federal judge has confirmed an arbitration award that requires certain London market reinsurers to indemnify Century Indemnity Co. for underlying asbestos losses, ruling that the panel did not exceed its authority in including a provision requiring prepayment of 75 percent of disputed claims. Harper Insurance Ltd., et al. v. Century Indemnity Co., No. 10-7866 (S.D. N.Y.).

In confirming the final award, Judge Naomi Reice Buchwald of the U.S. District Court for the Southern District of New York ruled that the treaty's honorable engagement clause authorized the panel to add the provision.

The reinsurers covered …