Travelers Property Casualty Ins. v. National Union Ins., No. 12-1070 (8th Cir. 2013)
Annotate this CaseIn a prior appeal, the court held that Travelers was entitled to receive $10 million from a primary insurer who had obtained a larger judgment through subrogation litigation against a third party. In this instance, the court concluded that the district court erred in holding that the court had decided the attorneys' fee issue in its prior opinion. However, the error was harmless because the court held that the equitable common-fund doctrine applied. The court also held that it was necessary to amend the amount of the common-fund offset; the district court erred in holding that the court's prior opinion precluded prejudgment and postjudgment interest; such error was not harmless and, therefore, the court reversed; the award to Travelers must be increased to reflect prejudgment and postjudgment interest; and the court directed the district court to enter judgment as detailed.
Court Description: Civil case - Insurance. For the court's prior opinion in the matter, see Travelers Prop. Cas. Ins. Co. of Am. v. Nat. Union Ins. Co. of Pittsburgh, 621 F.3d 697 (8th Cir. 2010). The district court erred in holding that this court's prior opinion decided the attorneys' fees issue; however, that error was harmless because the common-fund doctrine applies and Travelers must share in the expense of the common fund; the common-fund offset is amended and the district court is directed to enter judgment in a specific amount; it is further ordered that National Union pay Travelers prejudgment interest on certain specified amounts.
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