[Download] "Allocation v. Western Employers Insurance Co." by United States Court of Appeals for the Seventh Circuit * Book PDF Kindle ePub Free
eBook details
- Title: Allocation v. Western Employers Insurance Co.
- Author : United States Court of Appeals for the Seventh Circuit
- Release Date : January 26, 1989
- Genre: Law,Books,Professional & Technical,
- Pages : * pages
- Size : 75 KB
Description
This interlocutory appeal from the grant of an injunction brings before us a tangle of jurisdictional and procedural questions. In 1986, Asset Allocation and Management Company, a partnership of three corporations which provides investment advice to insurance companies, was hired by Western Employers Insurance Company, a California insurance Company. Asset set advised Western to invest in a trading program administered by Jefferies &##38; Company, a brokerage firm. Western took Assets advice and invested. The program was a flop. Western lost millions. In 1987, thoroughly disenchanted, Western stopped paying Asset the investment-advisor fees called for by their contract, threatened to sue it in California for fraud and securities violations, but invited it to arbitrate their differences. Asset responded by filing the present suit in May 1988, a diversity breach of contract suit for $18,500 in unpaid investment-advisor fees. The suit was filed a year before the increase to $50,000 in the minimum amount in controversy in diversity suits took effect.