In January of 2011, 10 ACE Group Companies agreed to pay $70 million in settlement fees to the New York Workers’ Compensation Board after an investigation into whether certain insurance companies had been overcharging policyholders.
ACE Lawyers Claim Improper Service on Co-Defendant
The ACE Group unit filed a petition for removal in U.S. District Court for the Middle District of Louisiana in a lawsuit that names it, EAN Holdings LLC and Katherine Haar as defendants. Lawyers for ACE cited a diversity of citizenship, inasmuch as ACE is based in Philadelphia, EAN is in St. Louis and Haar is a citizen of Germany.
In their removal petition, ACE lawyers said plaintiffs Shanitra Grimes and Lillie Grimes did not properly request service against Haar with notice of the underlying state court lawsuit via the U.S. Secretary of State. According to the Hague Convention, they said that all pleadings in the case must be translated into German and that Haar must be served in her home country.
The ACE lawyers said they anticipate representing Haar when and if she is properly served. She has not yet filed an appearance “in order to avoid any argument that she has waived service of process through the Hague Convention.”
The lawsuit in question stems from a May 12th, 2012, automobile accident in which Haar was a motorist. At the time, she was driving a vehicle she had rented from EAN, which operates as Alamo Rent-A-Car.
Shanitra and Lillie Grimes filed their initial case on April 17 in East Baton Rouge Parish, Louisiana parish court. There was no indication as to the extent of injuries they alleged or damages they would seek (per Louisiana law, damage amounts are not stated).
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