The Wild West Of Improper Joinder In North Texas

Law360, New York (August 17, 2015, 10:59 AM EDT) -- In 1998, the Texas Supreme Court recognized that an insurance claim adjuster can be held personally liable for a breach of the Texas Insurance Code. Based on this precedent, it has become commonplace for claim adjusters to be named as defendants in lawsuits arising from disputed insurance claims. The question, however, is whether the plaintiff has a legitimate expectation of developing a valid theory and obtaining a recovery from this defendant or whether the joinder of this defendant is for the sole purpose of destroying diversity jurisdiction to keep the matter in state court....

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