In a COVID-19 insurance coverage lawsuit that Hilton Worldwide Holdings, Inc. filed against several insurers in Nevada state court, two recent rulings in favor of Hilton highlight the importance of strategic decisions early in a case.

After Hilton filed suit in Nevada, the insurers moved to dismiss the lawsuit under the doctrine of forum non conveniens, arguing that the insurance dispute should be resolved in a Virginia state court, since Hilton’s headquarters is located in Virginia. Contemporaneous to filing the forum motion, several insurers also filed a declaratory judgment action against Hilton in Virginia state court. The insurers argued that Hilton was entitled to less deference on its choice of forum because it is a non-Nevada plaintiff, Virginia is an adequate (and indeed proper) forum to adjudicate the insurance dispute because “that is the state where Hilton is headquartered and where the underwriting meetings and premium payment for some of the Policies occurred,” and private and public factors weigh in favor of dismissal of the action so that the insurance dispute would proceed in Virginia state court.

Reprinted courtesy of Michael S. Levine, Hunton Andrews Kurth, Cary D. Steklof, Hunton Andrews Kurth and Andrew S. Koelz, Hunton Andrews Kurth
Mr. Levine may be contacted at mlevine@HuntonAK.com
Mr. Steklof may be contacted at csteklof@HuntonAK.com
Mr. Koelz may be contacted at akoelz@HuntonAK.com