RAISIN BARGAINING ASSOCIATION v. Hartford Casualty Insurance Co.

MEMORANDUM DECISION ON DEFENDANT’S MOTION TO DISMISS (Docs. 7, 8)

I. INTRODUCTION.

On January 27, 2010, the Raisin Bargaining Association (“RBA”), Glen S. Goto, and Monte Schütz (“Plaintiffs”) filed a complaint in the Superior Court of California, County of Fresno, against Hartford Casualty Insurance Company (“Defendant”) alleging various state causes of action. (Doc. 1, Ex. B). Defendant removed Plaintiffs’ action pursuant to 28 U.S.C. § 1441 (b) on the basis of diversity jurisdiction. (Doe. 1).

Defendant filed a motion to dismiss Plaintiffs’ complaint on March 5, 2010. (Docs. 7, 8). Plaintiffs filed opposition to Defendant’s motion to dismiss on April 30, 2010. (Doc.10).

II. FACTUAL BACKGROUND.

Plaintiff RBA is a nonprofit California cooperative association. (Complaint at 1). Plaintiffs Glen Goto and Monte Schütz are and were, at all times relevant to this action, members of the Board of Directors of RBA. (Complaint at 2).

Plaintiffs entered into contracts for insurance with Defendant whereby Defendant agreed to insure Plaintiffs against various claims brought against Plaintiffs for actions taken in RBA’s business capacity. (Complaint at 1, 3). The insurance policies…