Schwartz V. Poizner: Potential Game Changer

Law360, New York (April 6, 2011, 4:41 PM EDT) -- In California, it is common for plaintiffs to join the California Department of Insurance in cases arising out of disability insurance policies. Because California law requires the insurance commissioner to approve disability insurance policies, the plaintiffs allege bogus mandamus claims to attempt to force the commissioner to withdraw or revoke the approval of the policy. For years, insurers have been thwarted in their efforts to remove these cases to federal court, as courts have rejected "fraudulent misjoinder" arguments.

However, California case law has found that a...
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