Commonwealth, Natural Resources & Environmental Protection Cabinet v. Kentucky Insurance Guaranty Ass'n

OPINION

ABRAMSON, Judge.

This appeal raises several novel issues regarding the application of the seven-year limitations provision contained in KRS 413.220(3) to claims against the Kentucky Insurance Guaranty Association (“KIGA”) arising from the insolvencies of sureties which had issued surface mining performance bonds. In a declaratory judgment proceeding, the Franklin Circuit Court determined that the statute barred several claims which the Natural Resources and Environmental Protection Cabinet (“Cabinet”) had against KIGA because the Cabinet failed to initiate administrative proceedings…