(Federal Court of Appeals Certifies Question to Nevada
Supreme Court Regarding whether Nevada Law Permits an Excess
Insurer to Sue a Primary Carrier Based on Equitable Subrogation for
the Primary Carrier's Failure to Settle a Lawsuit Within
Primary Limits)
(October 2024) - In North River Ins. Co. v.
James River Ins. Co., __ F.4th __(9th Cir. August 28, 2024),
the U.S. Court of Appeals for the Ninth Circuit certified the
following question to the Nevada Supreme Court:
Under Nevada law, can
an excess insurer state a claim for equitable subrogation against a
primary insurer where the underlying lawsuit settled within the
combined policy limits of the insurers?
The parties' dispute arose out of James River's failure
to settle a wrongful death lawsuit involving the murder of Marcus
Collins at an apartment complex owned by the insured, Alhambra
Place Partnership, LP dba Shelter Island Apartments ("Alhambra
Place"). The Estate of Mr. Collins filed a lawsuit
