Federal Judge Says Court Lacks Jurisdiction Over Dispute Involving Flood Policy

GREENVILLE, Miss. — A federal court has remanded a policyholder’s dispute over coverage of a flood insurance claim, determining that the case involved state law misrepresentation claims that are not subject to federal question jurisdiction under the National Flood Insurance Act.

In a July 29 ruling, the U.S. District Court for the Northern District of Mississippi held that because plaintiffs Lee and Paula Simmons were not seeking damages based on their insurer’s handling of their claim, but rather the circumstances surrounding the procurement of their policy, the case was properly venued in state court.

The Simmonses sued the Mississippi Farm …