Baylor Health Care System v. Employers Reinsurance Corp.

PATRICK E. HIGGINBOTHAM, Circuit Judge:

Plaintiff-Appellant Baylor Health Care System appeals from the district court’s summary judgment dismissal of Baylor’s declaratory judgment and breach of contract suit against Defendant-Appellee Employers Reinsurance Corporation (“ERC”). The court concluded that Baylor and ERC confected an accord and satisfaction of ERC’s obligations under Baylor’s liability policy when they agreed to fund the settlement of a tort claim against Baylor and performed according to the terms of that agreement. We reverse and remand.

I

Baylor was insured under a medical and…