Calif. Court Retains Jurisdiction Over Benzene Insurance Coverage Action

SAN FRANCISCO –– A California federal court has refused to remand a declaratory judgment action involving underlying benzene exposure allegations, finding that since the plaintiff asserts breach of contract claims, and does not challenge a workers’ compensation finding, federal jurisdiction is proper.

In the June 30 opinion, the U.S. District Court for the Northern District of California held that since nothing can affect the compensation already owed to the former employee for benzene exposure, the dispute only concerns whether the insurance policy requires the excess insurer to make reimbursement payments.

The underlying action was brought by the San Francisco Bay …