Sipl for Sipl v. United Ben. Life Ins. Co.
Opinion
Opinion
Hauk, J.
DECISION AND ORDER
This matter came on for hearing before this Court on March 7,1983, upon plaintiffs’ motion to remand this case, a diversity action as originally alleged, back to the California Superior Court for the County of Orange.
Plaintiffs, all California residents, instituted suit against United Benefit Insurance Co., (“United”), a Nebraska Corporation, Pete Malcolm, (“Malcolm”), a California resident, and Does 1-30, in the California Superior Court for the County of Orange on February 10,1982. Plaintiff set forth eight causes of action, all centering around a claimed tortious breach of a life insurance contract. United is the insurance company which wrote the disputed insurance policy. Malcolm is the insurance agent who sold the life insurance policy to plaintiffs’ deceased husband and father.
On May 28,1982, Malcolm filed for bankruptcy in the United States Bankruptcy Court, Central District of California, Santa Ana, California. The bankruptcy proceeding, of course, stayed all judicial actions and thus effectively prevented service of the State suit upon Malcolm, although from the initiation of the suit he has been a named defendant.