Fluor Australia Pty Ltd. v. Allianz Global Risks U.S. Insurance

MEMORANDUM **

In this interpleader action brought by Fluor Australia Pty. Ltd., Allianz Global Risks U.S. Insurance Co. appeals the district court’s order awarding summary judgment to Certain Lloyd’s Underwriters, SR International Business Insurance Co. Ltd., and Kemper Environmental, Ltd. (collectively, the Fifth Layer Carriers) on the issue of whether the proceeds are to be allocated on a “top-down” or a pro rata basis. We affirm for substantially the same reasons as those stated by the district court.

I

We agree with the parties that we have jurisdiction over this appeal. Because there are no claims, parties, or issues remaining for adjudication in the interpleader action, the district court’s order awarding summary judgment to the Fifth Layer Carriers is a final judgment appealable under 28 U.S.C. § 1291 .

*580 II

Under the top-down principle endorsed by the California Court of Appeal in Century Indemnity Co. v. London Underuniters, 12 Cal.App.4th 1701 , 16 Cal. Rptr.2d 393 (1993), subrogation proceeds should be allocated to insurers in the order opposite to that in which they contributed to a settlement payout. Id. at 1710 , 16 Cal.Rptr.2d 393 . Allianz’s reliance on a…