N.J. Federal Court Extends Stays On All Sandy-Related WYO Carrier Flood Litigation

TRENTON, N.J. — A federal court in New Jersey has extended a temporary stay in flood-related cases involving alleged damage from Superstorm Sandy, citing the continuation of “intensive negotiation and settlement efforts.”

In the May 13 order, the U.S. District Court for the District of New Jersey noted that the extended stay is effective in cases in which a Write-Your-Own (WYO) insurance carrier under the National Flood Insurance Program is a defendant.

The court initially ordered the stay in March after FEMA announced a new policy of intensive negotiations aimed at settling Sandy-related flood cases. The stay is necessary …