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Krueger v. Tabor, 546 So.2d 1317 (La. App. 3rd Cir. 1989). A receiver was<br />

appointed for the insolvent insurance carrier, a Texas domiciliary. Although<br />

certain intervenors and third party claimants properly served the receiver,<br />

plaintiffs failed to do so. The receiver challenged judgment for the plaintiffs<br />

alleging lack of jurisdiction due to improper service and judgment for<br />

intervenors/third party claimants alleging lack of subject matter jurisdiction<br />

due to exclusive jurisdiction in the Texas liquidation court. The court reversed<br />

judgment in favor of plaintiffs, holding the judgment null and void for the<br />

reason that the receiver had not been served with process. The court upheld<br />

judgment in favor of the intervenors and third party claimants (who had<br />

properly served the receiver), finding the Louisiana courts had subject matter<br />

jurisdiction over the controversy because Texas is not a "reciprocal" state<br />

under the Uniform Insurers Liquidation Act. Therefore, the Louisiana claimants<br />

were not required to bring their action in the Texas Court which appointed the<br />

receiver.<br />

Massachusetts<br />

Michigan<br />

Clentimack v. AA Transportation Co., Inc., 2003 Mass. Super. LEXIS 373; Int’l<br />

Church of the Foursquare Gospel v. City of Fitchburg, 17 Mass. L. Rep. 30 (Mass.<br />

Super. Ct. 2003); Selinga v. Dukakis, 2003 Mass. Super. LEXIS 355; Jack‐O‐<br />

Lantern Spectacular, Inc. v. Usovicz, 16 Mass. L. Rep. 335 (Mass. Super. Ct. 2003).<br />

In each of these four cases, the action had been stayed for many months<br />

pursuant to a rehabilitation order involving the defendant’s insurer in another<br />

state. The Court held that each case should proceed despite the stay because<br />

after such an extended delay, the interests of justice before the present court<br />

outweighed the justifications for continuing the stay.<br />

American Druggists' Insurance Company v. Carlson, No. G85‐340 CA7, 1989 U.S.<br />

Dist. LEXIS 17719 (W.D. Mich. 1989). The Court of Common Pleas of Franklin<br />

County, Ohio issued an order declaring: (1) an insurer insolvent, (2) appointing<br />

the Ohio Superintendent of Insurance to liquidate the insurer, (3) named the<br />

Attorney General as counsel of record for the insurer, (4) gave notice to all<br />

attorneys previously representing the insurer that their authority to represent<br />

the insurer was terminated and (5) ordered former counsel to return all files,<br />

documents, fees and other assets and properties of the insurer to the<br />

liquidator. The insurer brought the case in diversity; a Magistrate's Order<br />

denied the insurer's motion for an order requiring predecessor counsel to turn<br />

over files in its possession and granted the predecessor counsel a lien on any<br />

original documents. Insurer appealed, arguing that the Magistrate erred in not<br />

enforcing the Ohio court order and that the grant of lien was improper since<br />

Michigan law provides that the proper forum for the attorneys to assert a<br />

claim against the insurer is in the Ohio court which is liquidating the insurer. On<br />

appeal, this court held that since the files were located outside of Ohio, they<br />

were located outside the liquidation court's in rem jurisdiction and thus the<br />

Ohio liquidation court's order is not entitled to full faith and credit by a<br />

Michigan court. It was concluded that the liquidation court lacked personal<br />

jurisdiction over the attorneys in so far as it sought to compel them to turn<br />

over files. Thus, the insurer's remedy was to file in a Michigan court to have its<br />

rights in the disputed files determined instead of relying on the liquidation<br />

court order. The court did find the Magistrate's Order to be clearly erroneous<br />

to the extent that it imposed any liens in favor of the attorneys since the<br />

proper forum for the attorneys to present their claim is the Ohio liquidation<br />

court.<br />

Keehn v. Charles J. Rogers, Inc., 311 Mich. 416, 18 N.W.2d 877 (1945). In an<br />

action by a receiver to collect an assessment where no demand for the<br />

payment of the assessment was made within one year after termination of<br />

policy, though the policyholder was an insured within one year preceding the<br />

liquidation proceedings, there was no liability for the assessment, as the statue

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