Insurers Freed From Tissue Donation Coverage Suit

Law360, New York (March 2, 2011, 2:49 PM EST) -- A federal judge Tuesday dismissed an insurance coverage dispute brought by a Florida tissue donation company relating to nearly 1,000 lawsuits filed over allegations some donors hadn't consented to donating their tissues or organs.

The defendant insurers, Lexington Insurance Co. and Chartis Claims Inc., are both incorporated in Delaware and so diversity jurisdiction doesn't exist, according to a two-page order from Judge Stephan P. Mickle of the U.S. District Court for the Northern District of Florida.

Alachua, Fla.-based RTI Biologics Inc. brought the coverage lawsuit after...
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