Negrete v. Allianz Life Insurance Company

523 F.3d 1091 (2008)

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Negrete v. Allianz Life Insurance Company

United States Court of Appeals for the Ninth Circuit
523 F.3d 1091 (2008)

DM

Facts

Vida Negrete (plaintiff) filed a class action against Allianz Life Insurance Company (Allianz) (defendant) in federal court, alleging that Allianz’s sale of annuities violated the Racketeer Influenced and Corrupt Organizations Act (RICO), 18 U.S.C. § 1961 et seq., and California statutes. The court certified a nationwide class on the RICO claims and a California class on the California claims. Several parallel suits against Allianz were pending in other courts: Iorio, in the United States District Court for the Southern District of California; Mooney, in the United States District Court for the District of Minnesota; Castello, in Minnesota state court; and a case in Minnesota state court brought by the attorney general (the AG suit). The Negrete class specifically carved out the Castello class. There was potential overlap, however, between the Negrete class and those in the Iorio, Mooney, and AG suits. Pursuant to court direction or approval, parties in the Castello, Mooney, and AG suits began settlement discussions with Allianz. The Negrete court ordered that Allianz could not participate in any settlement discussions that would affect the Negrete claims unless counsel for Negrete conducted the talks and any settlement was approved by the Negrete court. Allianz appealed the order.

Rule of Law

Issue

Holding and Reasoning (Fernandez, J.)

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