American Family Mutual Insurance Co. v. St. Louis Heart Center, Inc., No. 17-3266 (8th Cir. 2019)
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American Family filed suit seeking a declaratory judgment against Vein Centers, its insured, disputing American Family's duty to defend and indemnify Vein Centers in a class action. St. Louis was the class representative in the underlying action against Vein Centers and later joined as a defendant in the declaratory judgment action.
The Eighth Circuit affirmed the district court's grant of summary judgment for American Family, holding that the district court did not err in concluding that American Family satisfied its burden of establishing the minimum amount in controversy and summary judgment was proper because St. Louis Heart failed to provide any evidence that adequate notice of the policy exclusion was not provided to Vein Centers.
Court Description: Grasz, Author, with Colloton and Beam, Circuit Judges] Civil case - Insurance. In a class action action under the Telephone Consumer Protection Act, St. Louis Heart claimed American Family's insured, Vein Centers, sent unsolicited faxes in violation of the Act; American Family brought this declaratory judgment action for a determination as to whether it owed a duty to defend and indemnify Vein Centers. The district court did not err in determining the amount in controversy exceeded the $75,000 required to establish diversity jurisdiction under 28 U.S.C. Sec. 1332(a)(1); the district court did not err in granting American Family summary judgment based on a provision in the policy excluding coverage for "distribution of material in violation of statutes; under Missouri law and the facts presented, American Family is entitled to the presumption that Vein Center received notice of the policy exclusion.
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