Fidelity & Guaranty Life Insurance Company v. Chiang

Filing 48

STIPULATION AND ORDER signed by Judge John A. Mendez on 2/27/2015 STAYING this case pending the final resolution of the pending life insurance cases, including the exhaustion of any and all appeals, for a period of no less than two years; ORDERING the parties to submit on 3/1/2017, and every six months thereafter, a joint case management statement to update the Court regarding the procedural status of the pending life insurance cases and any and all applicable appeals. (Michel, G.)

COBLENTZ PATCH DUFFY & BASS LLP

One Ferry Building, Suite 200, San Francisco, California 94111-4213
415.391.4800
•
Fax [phone]

1 COBLENTZ PATCH DUFFY & BASS LLP
JEFFREY G. KNOWLES (State Bar No. 129754)
2 [e-mail]
JULIA D. GREER (State Bar No. 200479)
3 [e-mail]
MARK L HEJINIAN (State Bar No. 281417)
4 [e-mail]
One Ferry Building, Suite 200
5 San Francisco, California 94111-4213
Telephone: [phone]
6 Facsimile: 415.989.1663
7 LINDQUIST & VENNUM LLP
DANIEL J. SCHWARTZ (MN Bar #388907) (Admitted Pro Hac Vice)
8 [e-mail]
BRYAN A. WELP (MN Bar #391413) (Admitted Pro Hac Vice)
9
[e-mail]
10 4200 IDS Center
80 South Eighth Street
11 Minneapolis, MN 55402
Telephone: [phone]
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Attorneys for Plaintiff
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FIDELITY & GUARANTY LIFE
INSURANCE COMPANY
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UNITED STATES DISTRICT COURT
EASTERN DISTRICT OF CALIFORNIA
SACRAMENTO DIVISION

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19 FIDELITY & GUARANTY LIFE INSURANCE
COMPANY
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Plaintiff,
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v.
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BETTY YEE, in her official capacity as
23 CONTROLLER OF THE STATE OF
CALIFORNIA,
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Defendant.
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Case No.: 2:14-CV-01837-JAM-CKD

STIPULATION AND ORDER
STAYING THE CASE

Complaint filed: August 5, 2014
Trial date:

January 23, 2017

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15723.001 3064052v1

2:14-CV-01837-JAM-CKD
STIPULATION AND [PROPOSED] ORDER STAYING THE CASE

WHEREAS, Defendant California Controller Betty Yee (the "Controller") seeks to

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2 conduct an audit of Plaintiff Fidelity & Guaranty Life Insurance Company ("FGLIC") to identify
3 unreported escheatable property to the State of California;
WHEREAS, FGLIC believes that the proposed audit violates the United States

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5 Constitution;
WHEREAS, FGLIC has appealed this Court's denial of its Motion for Preliminary

COBLENTZ PATCH DUFFY & BASS LLP

One Ferry Building, Suite 200, San Francisco, California 94111-4213
415.391.4800
•
Fax [phone]

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7 Injunction (Dkt. 36) to the Ninth Circuit Court of Appeals (the "Ninth Circuit Appeal");
WHEREAS, there are three currently pending actions in California state court between life

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9 insurance companies and the Controller regarding proposed audits ("pending life insurance
10 cases"):1


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Chiang v. American National Insurance Company, Sacramento County Superior

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Court Case No. 34-2013-00144517, filed May 7, 2013, currently on appeal in

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Chiang etc., et al. v. American National Insurance Company, Third Appellate

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District Case No. C075248, filed November 18, 2013;


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Chiang v. Kemper Corporation, Sacramento County Superior Court Case No. 342013-00148154, filed July 17, 2013; and

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

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Thrivent Financial for Lutherans v. Chiang, et al., San Francisco County Superior
Court Case No. CGC-13-535156, filed October 13, 2013;

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WHEREAS, the Controller believes the outcome of the pending life insurance cases may

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20 affect the current litigation and wishes to devote its resources to those cases;
WHEREAS, the parties desire and agree to stay the current litigation pending the final

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22 resolution of the aforementioned pending life insurance cases including any and all appeals;
WHEREAS, the parties are simultaneously seeking a stay of the Ninth Circuit Appeal for

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24 the same period of time;
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A fourth case filed by FGLIC against the Controller in San Francisco County Superior Court
(Fidelity & Guaranty Life Insurance Company v. Chiang, San Francisco County Superior Court
27 Case No. CGC-14-540953, filed August 5, 2014) is to be dismissed without prejudice pursuant to
an agreement between the parties.
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15723.001 3064052v1

2:14-CV-01837-JAM-CKD
STIPULATION AND [PROPOSED] ORDER STAYING THE CASE

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IT IS THEREFORE STIPULATED AND AGREED THAT:

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(1)

the above-captioned case should be stayed pending the final resolution of the

3 pending life insurance cases, including the exhaustion of any and all appeals, and in any case, for a
4 period of no less than two years; and
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(2)

the parties will submit a joint case management statement on March 1, 2017, and

COBLENTZ PATCH DUFFY & BASS LLP

One Ferry Building, Suite 200, San Francisco, California 94111-4213
415.391.4800
•
Fax [phone]

6 subsequent joint case management statements every six months thereafter, to update the Court
7 regarding the procedural status of the pending life insurance cases and any and all applicable
8 appeals.
9
10 DATED: February 27, 2015
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COBLENTZ PATCH DUFFY & BASS LLP
By: /s/ Jeffrey G. Knowles
Jeffrey G. Knowles
Attorneys for Plaintiff
FIDELITY & GUARANTY LIFE INSURANCE
COMPANY

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DATED: February 27, 2015

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KAYE SCHOLER LLP
By: /s/ Steven S. Rosenthal
Steven S. Rosenthal
Attorneys for Defendant BETTY YEE,
in her official capacity as CALIFORNIA STATE
CONTROLLER

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ORDER

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23 GOOD CAUSE APPEARING, IT IS SO ORDERED.
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25 Dated: 2/27/2015
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/s/ John A. Mendez________________________
HON. JOHN A. MENDEZ
UNITED STATES DISTRICT COURT JUDGE

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2:14-CV-01837-JAM-CKD
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STIPULATION AND [PROPOSED] ORDER STAYING THE CASE