Minn. Stat. § 60B.60

American Cast Iron Pipe Co. v. Statesman Insurance Co. · 1972 2 citations

In this diversity case, Minnesota law applies. Erie Railroad Co. v. Tompkins, 304 U.S. 64, 58 S.Ct. 817, 82 L.Ed. 1188 (1938). Illinois and Minnesota are “reciprocal” states in connection with liquidation of insurance companies, and have statutes establishing a joint policy that creditors from both states shall share equally in the insolvent insuror’s general assets in both states. (Minn.Stats. 60B.03, Subd. 10; 60B.60 Subd. 1; Smith-Hurd, Ill.Stats.Ann., Ch. 73, § 833.1(1), § 833.10). Under the statutes of both states, therefore, the amount and priority of claims is governed by the order of the domiciliary state. Minn. Stat. 60B.60(1), Minn. Stat. 60B.-57, 60B.58. Minnesota would therefore look to the law of Illinois to determine the relative rights to Home Owner’s assets as between plaintiff and Home Owner's other creditors.

In this diversity case, Minnesota law applies. Erie Railroad Co. v. Tompkins, 304 U.S. 64, 58 S.Ct. 817, 82 L.Ed. 1188 (1938). Illinois and Minnesota are “reciprocal” states in connection with liquidation of insurance companies, and have statutes establishing a joint policy that creditors from both states shall share equally in the insolvent insuror’s general assets in both states. (Minn.Stats. 60B.03, Subd. 10; 60B.60 Subd. 1; Smith-Hurd, Ill.Stats.Ann., Ch. 73, § 833.1(1), § 833.10). Under the statutes of both states, therefore, the amount and priority of claims is governed by the order of the domiciliary state. Minn. Stat. 60B.60(1), Minn. Stat. 60B.-57, 60B.58. Minnesota would therefore look to the law of Illinois to determine the relative rights to Home Owner’s assets as between plaintiff and Home Owner's other creditors.