Reinsurer’s Subrogation Action Against Railroad Remanded to Ill. State Court

SPRINGFIELD, Ill. — An Illinois federal judge has remanded a reinsurer’s subrogation action seeking to recoup more than $45,000 from Union Pacific Railroad for mine subsidence damages, ruling that the amount in controversy does not exceed $75,000.

In a Sept. 17 order, Judge Sue E. Myerscough of the U.S. District Court for the Central District of Illinois noted Union Pacific has conceded that the claim in the instant action does not exceed the jurisdictional limit, and that IMSIF was not obligated to aggregate its other claims against the railroad to meet that limit.

The Illinois Mine Subsidence Insurance Fund (IMSIF) …