American States Ins. Co. v. Insurance Co. of the State of Pennsylvania

Filing 38

STIPULATION and ORDER 37 for extension of time signed by Chief Judge Morrison C. England, Jr. on 4/30/2013. Defendant Insurance Company of State of Pennsylvania to answer or otherwise respond to 35 Second Amended Complaint by 5/28/2013. (Marciel, M)

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BINGHAM MCCUTCHEN LLP
Frank Kaplan (SBN 50859)
[e-mail]
Ken Meyers (SBN 99959)
[e-mail]
The Water Garden
Fourth Floor, North Tower
1620 26th Street
Santa Monica, California 90404-4060
Telephone: [phone]
Facsimile: 310.907.2000
Attorneys for Defendant
Insurance Company of the State
of Pennsylvania

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UNITED STATES DISTRICT COURT

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EASTERN DISTRICT OF CALIFORNIA

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SACRAMENTO DIVISION

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AMERICAN STATES INSURANCES

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COMPANY, an Indiana Corporation,

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Plaintiff,

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No. 2:12-CV-01489-JAM-DAD
STIPULATION TO EXTEND
TIME TO ANSWER OR
OTHERWISE RESPOND TO
SECOND AMENDED
COMPLAINT; ORDER

v.
INSURANCE COMPANY OF THE
STATE OF PENNSYLVANIA, a
Pennsylvania Corporation,

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Defendant.

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I.

RECITALS

1. This is an action among insurance companies who are alleged to have duties

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to defend and/or indemnify Sierra Pacific Industries (“SPI”) in various

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lawsuits arising out of the “Moonlight Fire.” The pleadingsare labeled as

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claims for declaratory relief, contribution and indemnity.

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2. On March 18, 2013, following issuance of the Court’s order granting leave

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to file, American States Insurance Company (“ASIC”) filed its Second

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Amended Complaint in this matter against Insurance Company of the State

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of Pensylvania (“ICSOP”) and Lexington Insurance Company

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(“Lexington”).

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3. At the time of the filing of the Second Amended Complaint, ASIC advises

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that it was in the process of negotiating a settlement with SPI of the related

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case Sierra Pacific Industries v. American States E.D. Cal. Case No. 2:11-

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CV-00346. It was anticipated by ASIC that the settlement would impact the

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allegations and causes of action alleged in the instant action, thus requiring

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further amendment of the Complaint in this action.

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4. Accordingly, on March 21, 2013, the parties to this action entered into a

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stipulation, under Local Rule 144(a), to extend the deadline -- for defendant

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ICSOP to answer or other response to the second amended complaint -- to

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April 29, 2013. ASIC further agreed to postpone service of a summons and
copy of the Second Amended Complaint upon newly-added defendant
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Lexington.
5. ASIC advises that the parties to the Sierra Pacific v. American States case

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have now reached agreement on the terms of a written settlement agreement

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that resolves all claims in that action. ASIC expects that SPI and ASIC will

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execute the written settlement agreement within the next week to ten days.

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ASIC further asdvises that the terms of the anticipated settlement will

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require amendment to the Second Amended Complaint to allege what ASIC

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contends are the essential terms of the settlement and their effect on the

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parties alleged rights and liabilities in this action. Further, as a result of its

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anticipated settlement with SPI, ASIC believes the disputes between it and

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ICSOP will be limited to pre-August 18, 2012 defense costs, which will

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moot any disputes regarding ASIC’s umbrella policy or Lexington. It is

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anticipated that the underlying SPI-ASIC Settlement and a draft third

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amended complaint can be presented to Defendant ICSOP for review and

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stipulation for filing no later than May 20, 2013. In the event ICSOP does

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not stipulate to the filing of the third amended complaint, ASIC anticipates

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filing a motion for leave to file a third amended complaint no later than May
28, 2013 (the previous day being a holiday).
6. Accordingly, the parties hereby jointly stipulate and request that the court
grant a further extension to May 28 2013 for ICSOP to answer or otherwise
respond to the Second Amended Complaint.
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DATED: April 24, 2013

THE BIERNAT LAW GROUP

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By:

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Lisa L. Pan
Attorneys for Plaintiff American
States Insurance Company

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DATED: April 24, 2013

BINGHAM McCUTCHEN LLP

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By: /s/ Frank Kaplan
Frank Kaplan
Attorneys for Defendant Insurance
Company of the State of
Pennsylvania

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ORDER

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Upon the stipulation of the parties, and good cause appearing, the court

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hereby extends the deadline for Defendant Insurance Company of the State of

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Pennsylvania to answer or otherwise respond to the Second Amended Complaint to

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May 28, 2013.

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IT IS SO ORDERED.
DATE: April 30, 2013

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___________________________________________
MORRISON C. ENGLAND, JR., CHIEF JUDGE
UNITED STATES DISTRICT COURT

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