Vesta Insurance receives multi-million dollar recovery
Clients Vesta Fire Insurance Company in Receivership
Jones Day represented Vesta Insurance Company (in Receivership under the supervision of the Texas Department of Insurance) in seeking a multi-million dollar recovery of Cumis (independent counsel) fees and costs from St. Paul Travelers, arising from St. Paul Travelers’ failure to pay defense counsel for Vesta in the Insurance Ventures litigation in Sacramento and San Diego, California. This case follows Jones Day’s important representation of Compulink, Inc in a leading California Cumis case that raised important questions about the scope and terms of the right to independent (Cumis) counsel under California law, and resulted in a reported decision regarding the severability and arbitrability of portions of an action relating to the amount of independent counsel fees in dispute. Compulink, 169 Cal.App.4th 289 (2008). The matter resulted in a full recovery of Cumis fees and costs and interest.
Vesta Fire Insurance Company in Receivership v. St. Paul Fire & Marine Insurance Company