In December, 2002, Centennial filed a Chapter 11 bankruptcy petition in the Northern District of Georgia. Nursing home negligence cases pending around the country were stayed as a result. A plan of reorganization set forth a procedure for addressing the claims against Centennial. On July 14, 2005, Evanston Insurance was given leave to file a declaratory judgment action relating to the respective rights and obligations under a policy of insurance. Other insurers that issued policies to Centennial were also parties. Centennial filed a counterclaim and cross claim against all parties. On the motion of another insurer, the action was dismissed, finding that the bankruptcy court was the appropriate forum for making determinations concerning which policies apply during which time periods, as well as obligations to pay under the bankruptcy plan.
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