United States District Court, D. Nevada
before the court is defendant Robert J. Kilroy's motion
to dismiss. (ECF No. 10). Plaintiff Maxum Casualty Insurance
Company (“Maxum”) filed a response (ECF No. 14),
to which Kilroy replied (ECF No. 18).
before the court is defendants Mary A. Taylor (“Mrs.
Taylor”) and Steven T. Taylor's (Mr. Taylor”)
(collectively “the Taylors”) motion to dismiss.
(ECF No. 12). Maxum filed a response (ECF No. 15), to which
the Taylors replied (ECF No. 16).
a declaratory action in which Maxum requests that the court
declare its legal rights and obligations with respect to an
insurance policy. The record before the court establishes the
about June 4, 2008, Mr. Taylor and Kilroy's vehicles
collided into each other, causing significant injury to
Kilroy. (ECF Nos. 10, 13, 15, 16). At the time of the
collision, Mr. Taylor had an insurance policy with Maxum.
Id. The policy provided a $1, 000, 0000 limit for
bodily and property damages, per accident. Id.
January 23, 2009, the Taylors commenced an action in Nevada
state court for personal injuries against Kilroy.
Id. After four years of litigation, Kilroy's
counterclaims against Mr. Taylor were the only issues
remaining in the case. Id. The matter went to trial
and the jury found that Mr. Taylor and Kilroy were equally
liable for the collision. Id. The jury awarded $35,
000 to Mr. Taylor and $75, 000 to Kilroy. (ECF No. 1).
the jury verdict, the Taylors and Kilroy filed motions for
new trial. (ECF Nos. 10, 12, 15). The state court granted the
motions, holding that the jury's liability determination
was supported by adequate evidence, but that the jury failed
to follow instructions when calculating damages. Id.
The Taylors appealed and the Nevada Court of Appeals affirmed
the state court's order. Id.
the Nevada Court of Appeals remanded the case, the parties
stipulated to a binding arbitration. Id. The
arbitration agreement provided that the scope of arbitration
was limited to the issue of damages and that Kilroy would
subsequently be able to file a motion for interest, costs,
and attorney's fees. Id. The arbitrators
ultimately found total damages in the amount of $6, 758,
293.76, for which Mr. Taylor was 50% liable. Id. In
July 2017, the state court entered judgment consistent with
the results of the arbitration. Id.
12, 2017, Maxum filed a motion to interplead funds in the
amount of $1, 000, 000. (ECF No. 10-3). The Taylors and
Kilroy filed a countermotion requesting that the court
adjudicate Maxum's duties under the insurance policy.
(ECF Nos. 10-4, 10-5). On September 28, 2017, the state court
issued an order (1) dismissing Maxum's motion as being
procedurally defective, (2) exercising general jurisdiction
over Maxum, and (3) holding that the insurance policy
requires Maxum to pay the $1, 000, 000 limit, interest on the
entire judgment, costs, and attorney's fees. (ECF No.
moved for reconsideration of the state court's September
28, 2017, order. (ECF No. 10-8). The state court denied the
motion for reconsideration. (ECF No. 10-9). Maxum represents
that the state court matter is currently pending before the
Nevada Supreme Court. (ECF No. 14).
October 2, 2018, Maxum initiated this declaratory action
seeking the court to declare its rights and duties in
connection with the insurance policy. (ECF No. 1).
Specifically, Maxum requests that the court hold that it
complied with all duties in connection with the policy by (1)
paying to Kilroy the policy limit; (2) tendering interest on
the judgment, which Kilroy rejected; and (3) tendering $117,
465.76 in costs, which Kilroy also rejected. Id.
Taylors and Kilroy move to dismiss this action. (ECF Nos. 10,
Taylors and Kilroy argue that the court should dismiss this
declaratory action because it would be inappropriate to