HDI Global Insurance Co. v. Kuehne + Nagel, Inc.

Background

The court had scheduled a bench trial for January 15, 2025. It asked the parties whether they would stipulate to liability or, alternatively, whether they agreed to a trial divided into separate issues under Federal Rule of Civil Procedure 42(b), limited at first to the application of the package limitation under the Carriage of Goods by Sea Act, 46 U.S.C. § 1304(5).

The Parties’ Positions

Kuehne + Nagel represented that it would not stipulate to liability, but stated that it did not object to a bench trial limited to the package limitation issue. HDI argued that Kuehne + Nagel’s refusal to stipulate to liability bordered on bad faith and that dividing the trial was unnecessary because, in HDI’s view, liability was clear. HDI also requested permission to file a motion for summary judgment on liability by October 23, 2024.

Rulings

The court granted HDI’s request to move for summary judgment on liability and directed HDI to file that motion by October 23, 2024. The court did not decide the merits of liability in this order.

The court also found that dividing the trial was appropriate because a trial limited to the package limitation issue would promote efficiency and convenience, involve little or no overlap with the remaining issues, and might eliminate the need to litigate additional issues. Accordingly, the court ordered that the bench trial remain scheduled for January 15, 2025, but be limited to the application of the package limitation.

The order states that the court had not yet decided HDI’s motion for reconsideration of an earlier order denying HDI’s motion to strike Kuehne + Nagel’s second, third, and ninth affirmative defenses. That reconsideration motion remained pending.