Is ‘Amount in Controversy’ in Insurance Coverage Cases Necessarily the Insurance Policy’s Face Amount?
How should federal district courts determine the amount in controversy in declaratory judgment actions brought by insurance companies? Should they rely…
How should federal district courts determine the amount in controversy in declaratory judgment actions brought by insurance companies? Should they rely on the face value of the policy at issue, or the amount of the claim against the insurer? A recent decision by a federal district court in Alabama analyzed the issue.
In 2016, a security guard at the Calhoun Hunting Club and Lounge in Letohatchee, Alabama, allegedly fired five to six shots into a car occupied by Nakia Rivers and Tiffany Miller. Ms. Rivers was killed in the incident and her estate brought claims against, among others, the club and its owner, Terry Baity.
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