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Advanced Indicator and Manufacturing, Inc. v. Acadia Insurance Co.

Court: 5th Cir  10/03/2022  Fifth Circuit Resolves Split of Authority on 542A Removal, Confirms Improper Joinder Determined at Time of Removal

The Fifth Circuit Court of Appeals held that improper joinder is determined at the time of removal, therefore insurer's post-suit but pre-removal election of agent's liability under Tex. Ins. Code Sec. 542A.006 supported removal to federal court based on court's diversity jurisdiction, and further reversed summary judgment in favor of insurer, finding concurrent causation doctrine did not bar insured's claims for losses resulting from Hurricane Harvey.

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