AIG Asks 1st Circ. To Kill Westernbank Coverage Order

Law360, Chicago (June 7, 2013, 6:58 PM EDT) -- AIG Insurance Co. asked the First Circuit on Wednesday to reverse a ruling requiring it to advance defense costs to former directors and officers of Westernbank in the Federal Deposit Insurance Corp.'s $176 million lawsuit against them, saying the order is an immediately appealable injunction.

The insurer argued in a reply brief that the First Circuit has jurisdiction in the appeal because the Puerto Rico federal court's order qualified as an explicit injunction, as it was directed at AIG specifically and is enforceable by contempt. Alternatively,...
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