Thursday, October 1, 2020

Federal Western District Court of Pennsylvania Declines Jurisdiction Over Business Interruption Coverage Question

In the case of Venezie Sporting Goods, LLC v. Allied Ins. Co. of America, 2:20-CV-1066 (W.D. Pa. Sept. 23, 2020 Hornak, C.J.), the Western Federal District Court of Pennsylvania exercised its discretion to decline jurisdiction over a declaratory judgment action involving a business interruption coverage claim relative to the Covid-19 pandemic.

After review of the factors set out by the Third Circuit in the case of Reifer v. Westport Ins. Co., 751 F.3d 129 (3d Cir. 2014),to consider relative to the question of whether a federal district court should accept jurisdiction over a declaratory judgment action, the court in this matter granted the insured's motion to remand the matter to state court.

Anyone wishing to review this decision may click this LINK.

I send thanks to Attorney Scott Cooper of the Harrisburg, PA office of Schmidt Kramer for bringing this decision to my attention.

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