IN RE HEALTHSOUTH CORP. INS. LITIGATION

No. CV-03-BE-1139-S.

308 F.Supp.2d 1253 (2004)

In re HEALTHSOUTH CORPORATION INSURANCE LITIGATION This Document Relates to: All Actions

United States District Court, N.D. Alabama, Southern Division.

March 16, 2004.


Attorney(s) appearing for the Case

Eugene P. Stutts, Steve R. Burford, Spain & Gillon LLC, Zinzer Building, Birmingham, AL, Michael Keeley, Toni Scott Reed, Katherine Gibson, Strasburger & Price LLP, Dallas, TX, Philip S. Kaufman, Stephen M. Sinaiko, Kramer Levin Naftalis & Franke LLP, New York, NY, Dent Morton, Carol Stewart, Gerald Gillespy, Burr & Forman LLP, Birmingham, AL, David M. Gische, Marcus B. Holladay, Ross, Dixon & Bell LLP, Washington, DC, Terrell J. McElheny, Dominick, Fletcher, Yeilding, Wood & Lloyd, PA, Birmingham, AL, Joseph Finnerty III, John Clarke, Richard F. Hans, Stephen Davidson, Piper Rudnick LLP, New York, NY, Lynn Hare Phillips, Kori L. Clement, Hare, Clement & Duck, PC, Birmingham, AL, Thomas A. Doyle, Matthew Allison, Michael McCutcheon, Mark S. Hamill, Baker & McKenzie, Chicago, IL, John Richard Carrigan, Christopher A. Mixson, Ogletree, Deakins, Nash, Smoak Stewart, PC, Birmingham, AL, Thomas W. Hanlon, D'Amato & Lynch, New York, NY, R. Douglas Noah Jr., Cathlynn H. Cannon, Wilson, Elser, Moskowitz, Edelman & Dicker, LLP, Dallas, TX, Scott Simpson, Batchelor & Simpson, PC, Birmingham, AL, Michael R. Delhagen, Timothy R. Dudderar, Duane Morris LLP, New York, NY, Douglas L. McCoy, Rip Britton, Hand Arendall LLC, Mobile, AL, for Plaintiffs.

W. Stancil Starnes, W. Michael Atchison, Starnes & Atchison LLP, Birmingham, AL, J. Michael Rediker, Thomas L. Krebs, Michael K.K. Choy, F. Lane Finch, Jr., Patricia C. Diak, Peyton D. Bibb, Haskell Slaughter Young & Rediker LLC, Birmingham, AL, Steven M. Farina, Williams & Connolly, Washington, DC, H. Lewis Gillis, Thomas Means Gillis & Seay PC, Montgomery, AL, James L. Richey, Raymond L. Johnson, Jr., Christopher K. Whitehead, Thomas, Means, Gillis & Seay, Birmingham, AL, Robert A. Schwinger, Chadbourne & Parke, New York, NY, Donald V. Watkins, Donald V. Watkins, PC, Birmingham, AL, Thomas V. Sjoblom, Chadbourne & Parke LLP, Washington, DC, N. Lee Cooper, James L. Goyer III, Patrick C. Cooper, James R. Bussian, Carl Burkhalter, Maynard Cooper & Gale PC, Champ Lyons III, Champ Lyons III LLC, Birmingham, AL, Peter A. Bassett, Alston & Bird LLP, Atlanta, GA, J. Mark Hart, J. Mark Hart, Birmingham, AL, Michael J. Chepiga, Simpson Thacher & Bartlett LLP, New York, NY, James R. Sturdivant, Harrington & Sturdivant, Mobile, AL, Don B. Long Jr., Johnston Barton Proctor & Powell LLP, Birmingham, AL, Clarence M. Small Jr., Kenneth O. Simon, Richard E. Smith, Christian Small LLP, Birmingham, AL, for Defendants.


MEMORANDUM OPINION

BOWDRE, District Judge.

This consolidated action involves claims and counterclaims by ten insurance carriers1 seeking to rescind coverage or, alternatively, to receive a declaratory judgment that their policies provide no coverage to HealthSouth Corporation and various of its officers, directors, and employees who were covered by those policies. Federal Insurance Company ("Federal"), Executive Risk Indemnity...

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