Builders V. Dragas — An Important Reminder For Insurers
November 28, 2012, 12:11 PM EST
Law360, New York (November 28, 2012, 12:11 PM EST) -- On Nov. 20, 2012, the Fourth Circuit, in Builders Mutual Insurance Co. v. Dragas Management Corporation, No. 11-1722 (4th Cir. Nov. 20, 2012), vacated summary judgment in favor of the plaintiff insurance company and ordered the district court to dismiss the matter from federal court for lack of jurisdiction.
After hearing oral argument, a panel of the Fourth Circuit realigned the insurance companies that destroyed diversity jurisdiction. The panel also concluded that each insurance company was a required, indispensable party, and thus the nondiverse insurer could...