Calif. Federal Judge Reopens Discovery on Privilege Issue in $16.9 Million Reinsurance Action

LOS ANGELES — A California federal judge has denied cross-motions for summary judgment in a $16.9 million reinsurance coverage action, citing his order allowing the reopening of discovery for the limited purpose of determining the reinsurer’s privilege claim.

In a Dec. 3 order, Judge Otis D. Wright II of the U.S. District Court for the Central District of California said California Capital Insurance Co. (CIG) and Maiden Reinsurance North America Inc. may seek leave to refile their motions after the pending discovery issue is resolved.

Maiden Re reinsured CIC and its underwriting companies, Eagle West Insurance Co., Monterey Insurance …