S-13-049, Carolyn Carlson and Richard Carlson (appellants) v. Allianz Versicherungs Aktiengesellschaft
Lancaster County District Court, Judge Robert R. Otte
Attorneys: Thomas G. Sundvold and Raymond D. McElfish ---Kyle Waller and Sarah Macdissi (Lamson Dugan Murray)
Civil: Vacation of order; declaratory judgment
Proceedings below: This is the Carlsons’ complaint to vacate an order of summary judgment after the court’s term ended. The summary judgment order had dismissed the Carlson’s declaratory judgment action against Allianz. The Carlsons had sought a declaration that Allianz owed coverage payments under its excess liability policy. The district court concluded that it lacked jurisdiction over the complaint because the Carlsons had not properly served Allianz. It further concluded that the complaint did not warrant the exercise of its inherent power or equitable power to vacate its order after the term had ended.
Issues: Whether the district court erred in (1) concluding that it lacked jurisdiction over the complaint because the Carlsons had not properly served Allianz; (2) declining to exercise (a) its inherent power under § 25-2001(1) to vacate the order based on newly discovered evidence under § 25-2001(4) or (b) its equitable power to vacate the order to serve the interests of justice; and (3) issuing an advisory ruling on the issue of “drop down” coverage and misinterpreting Allianz’s excess liability policy to preclude the availability of “drop down” coverage for its insolvent, partially self-insured insured.