Pine Top Receivables to Appeal Ruling that it May Not Compel Banco to Arbitrate

CHICAGO — Pine Top Receivables of Illinois is appealing an Illinois federal judge’s ruling that it may not compel Banco de Seguros del Estado to arbitrate a $2 million reinsurance dispute.

Pine Top notified the U.S. District Court for the Northern District of Illinois that it was appealing the June 11 ruling to the 7th Circuit U.S. Court of Appeals. In that ruling, Judge Marvin E. Aspen found that an agreement assigning certain collection rights to PTRIL did not convey the power to compel arbitration.

Between 1977 and 1984, Banco entered into five reinsurance contracts with Pine Top Insurance Co. …