State Court Lacked Jurisdiction Over Bad Faith Claims Against WYO Carrier, La. Court Affirms

GRETNA, La. — A Louisiana state court lacked jurisdiction over a bad faith lawsuit filed against a “Write-Your-Own” flood program insurer, a state appellate court has affirmed, explaining that federal courts have original exclusive jurisdiction over such claims.

In a Sept. 23 opinion, the Louisiana 5th Circuit Court of Appeal explained that state and federal courts have recognized that the National Flood Insurance Act and regulations governing an SFIP both provide federal courts with exclusive jurisdiction over disputes regarding the denial and adjustment of flood claims.

In August 2012, Louis Rodriguez-Roble and Marisol Soto-Ayala’s LaPlace, La., property sustained wind, rain …