Virginia Electric & Power Company v. Westinghouse Electric Corporation

485 F.2d 78, cert. denied, 415 U.S. 935 (4th Cir. 1973)

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Nature of the Case

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Facts

Virginia (P) sued Westinghouse (D) for the damages from a power station failure. INA was the insurer and had paid all but $150,000 of P's losses. P subrogated its claim against D. INA agreed to furnish counsel and have exclusive control over the action and that it would prosecute the remaining $150,000 claim for P's losses. P sued on its own behalf and that if its insurer INA. D moved to dismiss the action in that INA was the real party in interest and that being a Pennsylvania corporation, there would be no diversity under Rule 17. In the alternative, D plead that INA was an indispensable party and under Rule 19(b) the action should be dismissed. The District Court found that P had retained a pecuniary interest and that standing was retained by the intent to recover the uninsured loss. The District Court denied the motion and certified under section 1292(b).