Veillon v. Exploration Services Inc‪.‬

THORNBERRY, Circuit Judge On December 20, 1984, plaintiff-appellee Michael Veillon was injured while working aboard a seismic marsh rig owned and operated by his employer Exploration Services, Inc. At all relevant times, Exploration Services was insured by The Travelers Insurance Company (Travelers) whose policy served the dual purposes of covering employer liability and worker's compensation claims. Veillon brought suit against Exploration Services, Travelers, and Texaco, Inc., the charterer of the seismic rig, based on the Jones Act, 46 U.S.C.App. § 688, and general maritime law. Travelers subsequently filed a complaint of intervention seeking reimbursement for any sums paid to or on behalf of Mr. Veillon in discharging its obligations as Exploration Services' worker's compensation carrier. Pursuant to its obligations under the policy issued to Exploration Services, Travelers paid Veillon $4515 in maintenance and $10,203.44 in cure. At the early stages of this litigation it was uncontested that Travelers' coverage for maintenance and cure was limited to $25,000. Travelers attempted to tender its remaining coverage to Veillon, but such offers were apparently rejected. Thereafter, on August 10, 1987, Travelers moved the court for permission to pay into the court's registry the balance of its policy limits ($10,281.56) and to be dismissed from the suit as a party-defendant. The district court granted Travelers' motion on August 26, 1987 and dismissed the claims against Travelers.