Service-of-Suit Endorsement Waives Insurer’s Right to Remove Case, Mo. Federal Judge Rules

ST. LOUIS — An insurer waived its right to remove a coverage case to federal court by issuing a policy containing a service-of-suit endorsement, a Missouri federal judge has ruled.

On Feb. 28, Judge Charles A. Shaw of the U.S. District Court for the Eastern District of Missouri explained that under Missouri law, the endorsement prevails over any conflicting policy language.

Hazelwood Logistics Center LLC sued its insurer, Illinois Union Insurance Co., in the St. Louis County (Mo.) Circuit Court, seeking coverage for remediation costs for methane gas found on Hazelwood Logistics’ property.

Illinois Union removed the action …