UNITED STATES DISTRICT COURT

MIDDLE DISTRICT OF LOUISIANA

HELENE ANTOINETTE ANDRAU

SIEGLER AND BARBARA ANDRAU CIVIL ACTION NO. 10-CV-0512
PECK POWELL

VERSUS JUDGE TYSON

ACE AMERICAN INSURANCE MAGISTRATE JUDGE RIEDLINGER

COMPANY, ET AL

MEMORANDUM IN SUPPORT OF JOINT MOTION FOR ENTRY OF

ADMINISTRATIVE STAY PENDING FINALIZATION OF SETTLEMENT AND
LITIGATION IN UNDERLYING MATTER

MAY IT PLEASE THE COURT:

The Parties show that Plaintiffs, in their capacities as alleged additional insureds under

certain liability policies issued to various Texaco entities, have sued Travelers, Ace, and

AMMIC seeking defense and indemnity in the lawsuit styled as Katherine G. Orillion, et al. v.

Texaco, Inc., et al., bearing No. 30718 on the docket of the 18th Judicial District Court for the

Parish of Point Coupee, State of Louisiana (the “Underlying Lawsuit”). The principal disputed

legal issue is whether any policies of insurance that the Defendants may have issued to any

Texaco entity afford coverage to Plaintiffs in connection with the Underlying Lawsuit.

Since the filing of this suit, however, Plaintiffs’ counsel have confirmed to Defendants’

counsel that based on information from counsel for Chevron/Texaco in the Underlying Lawsuit,

the Underlying Lawsuit has been settled in principle and that the instant declaratory judgment

action will no longer need to be maintained upon finalization of Plaintiffs’ settlement with

Texaco in the Underlying Lawsuit. Plaintiffs have also advised that the Underlying Lawsuit is a

legacy lawsuit involving Act 312 of 2006, so that even though the parties to the Underlying

Case 3:10-cv-00512-RET -SCR Document 27-1 11/29/10 Page 1 of 3

Lawsuit have achieved a settlement in principle, there will be a somewhat lengthy process

involving not only the finalization of settlement papers, but also notice to the State of Louisiana

and approval by the 18th Judicial District Court.

As a result of the underlying settlement negotiations, Plaintiffs have consented to, and the

Defendants have obtained, several extensions of time to file responsive pleadings in the

captioned matter in an effort to avoid unnecessary expenditure of costs and resources.

Consequently, the Defendants have not yet filed responsive pleadings or analyzed their

respective defenses to Plaintiffs’ allegations. Defendants’ responsive pleadings are presently due

to be filed on November 29, 2010. In addition, based on the representations of the Parties in a

Joint Status Report [Rec. Doc. 21], this Court previously issued an Order on November 2, 2010

[Rec. Doc. 26], inviting the parties to file a motion to administratively close or stay the case on

or before December 3, 2010. In addition, in response to a letter advising the Court of the current

status submitted by Plaintiffs’ counsel, the Court advised on November 29, 2010, that the Parties

should seek to stay the captioned matter.

In an effort to preserve judicial efficiency and minimize potentially unnecessary expenses

for everyone, the Parties file this Joint Motion seeking an administrative stay so that Plaintiffs

can focus their efforts on assisting counsel for Chevron/Texaco in the Underlying Lawsuit in

finalizing the underlying settlement with Plaintiffs in the Underlying Lawsuit, which will obviate

further litigation among the Parties to this declaratory judgment action. Upon the

accomplishment of the settlement and a final judgment in the Underlying Lawsuit approving the

settlement, this action will be dismissed without prejudice.

WHEREFORE, the Parties jointly request that the instant litigation be administratively

stayed for a period of ninety days while efforts are undertaken to finalize the settlement of the

Case 3:10-cv-00512-RET -SCR Document 27-1 11/29/10 Page 2 of 3

Underlying Lawsuit.
Respectfully submitted,
_/s/ _Michael G. Durand________________
MICHAEL G. DURAND (LSBA No. 05223)
Onebane Law Firm
A Professional corporation
Suite 300, 1200 Camellia Boulevard (70508)
Post Office Box 3507
Lafayette, LA 70502-3507
Telephone: (337) 237-2660
FAX: (337) 266-1232
Counsel for Plaintiffs, Helene Antoinette
Andrau Siegler and Barbara Andrau Peck
Powell
_/s/ David P. Salley_______________________
DAVID P. SALLEY
JEFFREY F. FARSHAD
SUSAN G. GUILLOT
SALLEY HITE & MERCER, LLC
365 Canal Street, Suite 1710
New Orleans, LA 70130
Telephone: (504) 566-8803
Counsel for Defendants, American Motorists
Insurance Company, American Manufacturers
Mutual Insurance Company, and
Lumbermens Mutual Casualty Company
Case 3:10-cv-00512-RET -SCR Document 27-1
___/s/ Tina L. Kappen ___________________
RALPH S. HUBBARD III, T.A.
TINA L. KAPPEN
LUGENBUHL, WHEATON, PECK,
RANKIN & HUBBARD
601 Poydras Street, Suite 2775
New Orleans, Louisiana 70130
Telephone: (504) 568-1990
Counsel for The Travelers Insurance
Company and The Travelers Indemnity
Company
__/s/ Martha Y. Curtis___________________
JAMES M. GARNER
MARTHA Y. CURTIS
RYAN O. LUMINAIS
SHER GARNER CAHILL RICHTER
KLEIN & HILBERT, LLC
909 Poydras Street, 28th Floor
New Orleans, LA 70112
Telephone: (504) 299-2100
Counsel for Defendants, Insurance Company
of North America and ACE American
Insurance Company
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