Western Insurance v. A and H Insurance

BRISCOE, Chief Judge,

This is an appeal from an order remanding an ancillary proceeding to state court. Western Insurance is insolvent and is being liquidated in Utah state court pursuant to the Utah Insurer Receivership Act. As a part of that liquidation, the Liquidator 1 brought an ancillary proceeding against several of Western’s “affiliates” to recover funds Western had transferred to them. The Defendants 2 removed the ancillary proceeding to federal district court pursuant to the court’s diversity jurisdiction. The Liquidator responded by seeking a remand, which the district court granted.