Country Music Academy’s Insurance Fight to Stay in Federal Court

The Academy of Country Music must proceed in federal court, for now, with its claims against Continental Casualty Co. over the coverage of a dispute involving a former executive, after the Ninth Circuit Monday found the trial court improperly sent the case back to state court.

The trial court was wrong in concluding the insurer didn’t prove in its removal notice that the dollar amount in controversy is sufficient for federal jurisdiction, the U.S. Court of Appeals for the Ninth Circuit said.

The district court’s assertion that a notice of removal must prove subject matter jurisdiction is contrary to U.S. ...