In re Great Southern Life Ins. Co. Sales Prac. Litig.

Full title: IN RE GREAT SOUTHERN LIFE INSURANCE COMPANY SALES PRACTICES LITIGATION…

Court: United States District Court, W.D. North Carolina

Date published: Aug 14, 2002

Docket No. 1214, C.A. No. 3:02-48 (W.D.N.C. Aug. 14, 2002)

Opinion

Docket No. 1214, C.A. No. 3:02-48

August 14, 2002

BEFORE WM. TERRELL HODGES, CHAIRMAN, JOHN F. KEENAN, MOREY L. SEAR,^_ BRUCE M. SELYA, JULIA SMITH GIBBONS, D. LOWELL JENSEN AND J. FREDERICK MOTZ, JUDGES OF THE PANEL

_ Judge Sear did not participate in the decision of this matter.

TRANSFER ORDER

WM. TERRELL HODGES, Chairman

Presently before the Panel are motions by various policy holder defendants in these eleven actions, pursuant to Rule 7.4, R.P.J.P.M.L., 199 F.R.D. 425, 435-36 (2001), to vacate the Panel's order conditionally transferring the actions to the Northern District of Texas for inclusion in MDL-1214 coordinated or consolidated pretrial proceedings. Plaintiff Great Southern Life Insurance Co. (Great Southern) opposes the motions and favors inclusion of these actions in MDL- 1214.

On the basis of the papers filed and hearing session held, the Panel finds that these actions involve common questions of fact with actions in this litigation previously transferred to the Northern District of Texas, and that transfer of these actions to that district for inclusion in the coordinated or consolidated pretrial proceedings occurring there will serve the convenience of the parties and witnesses and promote the just and efficient conduct of this litigation. The Panel further finds that transfer of these actions is appropriate for reasons expressed by the Panel in its original order directing centralization in this docket. The Panel held that the Northern District of Texas was the proper Section 1407 forum for actions relating to allegations that Great Southern used deceptive insurance sales practices, including the use of policy illustrations and other sales techniques showing that the premiums would "vanish" after a certain number of years, in order to fraudulently entice individuals to purchase Great Southern's whole and/or universal life insurance policies. See In re Great Southern Life Insurance Company Sales Practices Litigation, MDL-1214 (J.P.M.L. May 5, 1998) (unpublished order).

IT IS THEREFORE ORDERED that, pursuant to 28 U.S.C. § 1407, these actions are transferred to the Northern District of Texas and, with the consent of that court, assigned to the Honorable Sidney A. Fitzwater for inclusion in the coordinated or consolidated pretrial proceedings occurring there in this docket.