American Home Assurance Co. V. Google, LLC
CourtSuperior Court of Delaware
Date FiledSeptember 21, 2026
DocketN26C-02-652 CCLD
StatusPublished
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Full Opinion
IN THE SUPERIOR COURT OF THE STATE OF DELAWARE
AMERICAN HOME ASSURANCE )
)
COMPANY and NATIONAL UNION )
FIRE INSURANCE COMPANY OF )
PITTSBURGH, PA., )
)
)
Plaintiffs,
)
)
v. ) C.A. No. N26C-02-652 SKR CCLD
)
GOOGLE, LLC, as successor in interest to )
GOOGLE, INC.; ALPHABET INC.; )
YOUTUBE, LLC; ALLIANZ GLOBAL )
)
CORPORATE & SPECIALTY SE; )
ALLIANZ GLOBAL RISKS US )
INSURANCE COMPANY; AMERICAN )
FIRE AND CASUALTY COMPANY; )
AMERICAN GUARANTEE AND )
)
LIABILITY INSURANCE COMPANY; )
ASPEN AMERICAN INSURANCE )
COMPANY; BERKSHIRE HATHAWAY )
SPECIALTY INSURANCE COMPANY; )
)
CERTAIN UNDERWRITERS AT )
LLOYD’S, LONDON; ENDURANCE )
AMERICAN SPECIALTY INSURANCE )
COMPANY; ENDURANCE RISK )
)
SOLUTIONS ASSURANCE COMPANY; )
FEDERAL INSURANCE COMPANY; )
GREAT AMERICAN INSURANCE )
COMPANY OF NEW YORK; GREAT )
)
AMERICAN SPIRIT INSURANCE )
COMPANY; GREAT LAKES )
INSURANCE SE; INDEMNITY )
INSURANCE COMPANY OF NORTH )
)
AMERICA; LIBERTY )
INTERNATIONAL UNDERWRITERS; )
LIBERTY SURPLUS INSURANCE )
CORPORATION; NATIONAL )
)
CASUALTY COMPANY; NATIONAL
)
FIRE & MARINE INSURANCE )
)
COMPANY; NAVIGATORS )
SPECIALTY INSURANCE COMPANY; )
OLD REPUBLIC INSURANCE )
COMPANY; STARR INDEMNITY & )
)
LIABILITY COMPANY; STARR )
SURPLUS LINES INSURANCE )
COMPANY; STARSTONE INSURANCE )
SE; STEADFAST INSURANCE )
COMPANY; ST. PAUL FIRE & )
)
MARINE INSURANCE COMPANY; and )
ZURICH AMERICAN INSURANCE )
COMPANY, )
)
)
Defendants.
Date Submitted: August 7, 2026
Date Decided: September 21, 2026
MEMORANDUM OPINION AND ORDER
Upon Consideration of
Defendants Google, Alphabet, and YouTube’s Motion to Stay:
GRANTED
Jody C. Barillare, Esq., MORGAN, LEWIS & BOCKIUS LLP, Wilmington, DE,
Attorneys for Defendants Google LLC, Alphabet Inc., and YouTube, LLC.
Robert J. Cahall, Esq., MCCORMICK & PRIORE, P.C., Newark, DE, Shivani Poddar,
Esq., Alan Lyons, Esq., Samuel Bazian, Esq., HERRICK, FEINSTEIN LLP, New York,
New York, Attorneys for Plaintiffs American Home Assurance Company and
National Union Fire Insurance Company of Pittsburgh, Pa.
RENNIE, J.
2
I. INTRODUCTION
This insurance coverage action arises out of the ongoing Social Media
Litigation, a multi-jurisdictional dispute comprising thousands of lawsuits against
various online platforms. The core of this dispute centers on whether the insurers
owe a duty to defend and indemnify the insureds against those underlying claims.
In this Court, Plaintiff-insurers seek a declaratory judgment that no coverage
obligations exist under the relevant policies. Conversely, Defendant-insureds seek
a contrary declaration in a parallel California proceeding.
Critically, the insureds initiated this action more than two weeks before the
insurers filed the instant matter. Under Delaware’s well settled forum non
conveniens framework, a first-filed action in another jurisdiction is generally
afforded deference unless the second-filed plaintiffs demonstrate compelling special
circumstances to the contrary. The California Action involves the same primary
parties, arises from the same nucleus of facts, and can comprehensively adjudicate
the underlying contractual questions. Because the Court finds that the California
Action is a first-filed action entitled to deference under Delaware law and because
Plaintiffs have failed to present countervailing hardships or exceptional
circumstances, the Motion to Stay is GRANTED.
3
II. BACKGROUND 1
A. The Parties
Plaintiff American Home Assurance Company (“American Home”) is a New
York corporation with its principal place of business in New York, New York.2
American Home issued a commercial general liability insurance policy to Google
for the period from April 1, 2007, to April 1, 2008.3
Plaintiff National Union Fire Insurance Company of Pittsburgh, PA (“National
Union,” and together with American Home, “AIG”) is a Pennsylvania corporation
with its principal place of business in New York, New York.4 National Union issued
commercial general liability insurance policies to Google for the period from April
1, 2008 through June 1, 2013, and commercial umbrella insurance policies to Google
for the period from April 1, 2007 through June 1, 2014.5
Defendants Google, LLC (“Google”), Alphabet Inc. (“Alphabet”), and
YouTube, LLC (“YouTube”) (collectively, the “Google Defendants”) are Delaware
limited liability companies and corporations headquartered in California. 6 YouTube
1
The facts referenced in this Opinion are taken from Plaintiffs’ Amended Complaint (D.I. 22,
hereinafter “Am. Compl.”), Defendants’ Opening Brief in Support of their Motion to Stay (D.I.
48, hereinafter “Mot.”), Plaintiffs’ Answering Brief in Opposition to Defendants’ Motion to Stay
(D.I. 139, hereinafter “Opp’n”), Defendants’ Reply Brief in Support of their Motion to Stay (D.I.
227, hereinafter “Reply”).
2
Am. Compl. ¶ 3.
3
Id.
4
Id. at ¶ 4.
5
Id.
6
Id. at ¶¶ 5–7.
4
is a wholly owned subsidiary of Google. 7 Google is a wholly owned subsidiary of
Alphabet.8
Defendant St. Paul Fire & Marine Insurance Company (“Travelers”) is a
Minnesota corporation with its principal place of business in Minnesota. 9 Travelers
issued primary and umbrella insurance policies to Google during the relevant
coverage periods.10
The remaining defendants are insurers that provided coverage to at least one
of the Google Defendants during the relevant coverage periods (collectively, the
“Other Insurers”). 11 The Other Insurers were joined by AIG in the Amended
Complaint for purposes of seeking a declaration of their rights and obligations to
defend and indemnify against any of the Underlying Claims in the event the Court
determines that AIG owes such obligations. 12
B. The Social Media Litigation and the Underlying Claims
Since 2022, the Google Defendants have been named as defendants in
thousands of lawsuits (collectively, the “Social Media Litigation”) alleging, inter
alia, that their platform YouTube caused harm to minors (the claims in the
7
Id. at ¶ 7.
8
Id. at ¶ 6.
9
Id. at ¶ 32.
10
Id.
11
Id. at ¶¶ 8–33.
12
Id. at ¶ 118.
5
underlying lawsuits are referred to as the “Underlying Claims”). 13 The vast majority
of these cases are proceeding in parallel California state and federal courts. 14
In July 2024, the Google Defendants began tendering claims to AIG seeking
insurance coverage for certain Underlying Claims.15 The Google Defendants
continued to provide AIG with subsequent notices regarding additional Underlying
Claims, seeking both a defense and indemnification. 16 AIG issued a reservation of
rights letter in November 2024 requesting additional information from Google. 17 In
February 2025, AIG informed the Google Defendants that it expected to complete
its review and issue a coverage position letter within two to three weeks. 18 AIG’s
final coverage letter was ultimately issued on June 4, 2026, several months after the
filing of the California action.19
C. The California Action
On February 11, 2026, the Google Defendants commenced an action in the
California Superior Court for Santa Clara County to resolve the parties’ insurance
coverage dispute (the “California Action”).20 Among other things, Google asks the
13
Mot. at 5.
14
Id. at 6.
15
Opp’n at 5; see Compl. ¶ 98.
16
Opp’n at 5; see Compl. ¶ 99.
17
Reply at 8.
18
Id.
19
Id. at 8, n. 3.
20
Mot. at 6.
6
California court to declare that AIG owes a duty to defend and indemnify Google
with respect to the Underlying Claims. 21
D. The Delaware Action
On February 27, 2026—sixteen days later—AIG filed this action (the
“Delaware Action”) seeking a parallel declaration that it owes no duty to defend or
indemnify the Google Defendants with respect to the Underlying Claims. 22 AIG
also seeks a declaration regarding the rights and obligations of Travelers to defend
and indemnify the Underlying Claims if the Court ultimately determines that AIG
owes coverage obligations for the Underlying Claims. 23 One month later, AIG
amended its complaint to request the same contingent declaration as to the Other
Insurers.24
E. The Motion
On May 1, 2026, the Google Defendants moved to stay the Delaware Action
arguing that—pursuant to Superior Court Civil Rule 12(b)(3) and the Court’s
inherent discretionary authority—this Court should defer to the first-filed California
Action.25
The Court heard oral argument on August 7, 2026. This Opinion follows.
21
Id. at 6–7.
22
See Complaint ¶¶ 52–65 (D.I. 1, hereinafter “Compl.”).
23
Comp. ¶ 68.
24
Am. Compl. ¶ 118.
25
Mot. at 1.
7
III. LEGAL STANDARD
The decision to stay a Delaware action on forum non conveniens grounds
“rests within the sound discretion of the court.”26 In exercising this discretion, the
Court relies on one of three distinct standards based on the procedural posture of the
case.27 First, if the Delaware action is first-filed, the movant must demonstrate
“overwhelming hardship” based on a balancing of the Cryo-Maid factors.28 Second,
under McWane, if the foreign action is first-filed, the Court will generally exercise
its discretion “freely in favor of the stay” so long as the foreign action involves
substantially the same parties and issues in a court capable of providing prompt and
complete justice.29 Third, if the actions are deemed to have been filed
contemporaneously, the Court balances the Cryo-Maid factors without favoring
either action and without requiring the movant to demonstrate overwhelming
hardship.30
26
BP Oil Supply Co. v. Conoco Phillips Co., 2010 WL 702382, at *2 (Del. Super. Feb. 25, 2010).
27
Arrowood Indem. Co. v. AmerisourceBergen Corp., 2023 WL 2726924, at *8 (Del. Super. Mar.
30, 2023).
28
Id.
29
LG Elecs., Inc. v. InterDigital Commc'ns, Inc., 114 A.3d 1246, 1251 (Del. 2015) (quoting
McWane Cast Iron Pipe Corp. v. McDowell–Wellman Eng'g Co., 263 A.2d 281, 283 (Del.1970)).
30
Midwest Integrated Care, LLC, v. Health Management Associates, Inc., 2026 WL 2322234, at
*2 (Del. Super. Aug. 10, 2026) (citing Nat’l Union Fire Ins. Co. of Pittsburgh, PA v. Crosstex
Energy Servs., L.P., 2013 WL 6598736, at *4 (Del. Super. Dec. 13, 2013)).
8
There is no “bright-line” test to determine whether two actions were
contemporaneously filed, as that determination is highly fact-specific.31
Contemporaneity is assessed based on the close temporal proximity of the filings
together with the overall “circumstances surrounding the filings.”32 Where the
record reflects that a party engaged in manipulative “race to the courthouse” tactics,
the Court may deem the actions contemporaneous so as to not reward such
behavior.33
Ultimately, the Court’s discretion is guided by the animating policy
considerations underlying forum non conveniens stays: (1) affording the plaintiff its
choice of forum, (2) comity, and (3) the necessities of an orderly and efficient
administration of justice.34
IV. ANALYSIS
The threshold question is which procedural standard governs the Court’s
analysis. The Google Defendants contend that the McWane standard applies because
the California Action constitutes a prior pending action, involves substantially the
31
CVR Ref., LP v. XL Specialty Ins. Co., 2021 WL 3523925, at *8 (Del. Super. Aug. 11, 2021)
(citations omitted).
32
Zilberstein v. Frankenstein, 2021 WL 5289104, at *4 (Del. Super. Nov. 12, 2021).
33
Id.
34
See Dura Pharm., Inc. v. Scandipharm, Inc., 713 A.2d 925, 928 (Del. Ch. 1998).
9
same parties and issues, and proceeds in a California court capable of rendering
prompt and complete justice.35
AIG disputes each of these points. First, AIG argues that the actions should
be deemed contemporaneous because the two filings were made in close temporal
proximity and because the Google Defendants engaged in tactical maneuvering to
manufacture first-filed status.36 Second, AIG argues that the Delaware Action is
more comprehensive because it involves additional insurers and claims.37 AIG also
points to the fact that the California Action is allegedly not progressing.38
Accordingly, AIG contends that the California Action fails to meet the “same parties,
same issues” and “prompt and complete justice” requirements necessary to trigger
McWane deference. 39
The Court agrees with the Google Defendants that the McWane standard
applies because all three McWane criteria are satisfied. Because this deferential
35
Mot. at 9–10.
36
Opp’n at 11–15. AIG also suggests that a prior dismissed suit between the Google Defendants
and Travelers should be deemed the first-filed case. Id. at 5, 11–13. Because AIG did not
meaningfully develop this argument in its briefing or provide any supporting authority during
oral argument, the Court deems the argument waived and declines to consider its merits.
Notably, AIG labels the California Action as “nominally a ‘prior action’” seemingly conceding
that, at the very least, the California Action is the literal first-in-time action. Id. at 27.
37
Id. at 27–29.
38
Id. at 28.
39
Id.
10
standard guides the Court’s discretion to freely grant a stay in favor of the first-filed
action, the Google Defendants’ motion should be granted.40
A. The McWane Standard Applies
McWane requires three criteria to be met: (1) a prior pending action in another
jurisdiction, (2) involving substantially the same parties and the same issues, and (3)
in a court capable of doing prompt and complete justice. 41 If all three elements are
met, Delaware law recognizes a strong preference in favor of the first-filed forum.42
1. The California Action is a Prior Pending Action.
The California Action was filed sixteen days before the Delaware Action.43
While the timing of the filing is not determinative, Delaware courts regularly afford
McWane deference to first-filed actions followed shortly thereafter by a similar
complaint.44
However, the heart of the “contemporaneous” inquiry is not found in the exact
number of days—although that is certainly a material factor—but in the
40
See Arrowood, 2023 WL 2726924, at *8.
41
LG Electronics, 114 A.3d 1246, 1251 (Del. 2015).
42
Id.
43
See Mot. at 6–7.
44
See e.g., Welbilt Corp. v. Trane Co., 2000 WL 1742053, at *3–4 (Del. Ch. Nov. 17, 2000)
(deferring to a Texas action filed nine days earlier); Xpress Mgmt, Inc. v. Hot Wings Int’l, Inc.,
2007 WL 1660741, at *3–5 (Del. Ch. May 30, 2007) (deferring to a Canadian action filed
approximately eleven days earlier); Brookstone P’rs Acq. XVI, LLC v. Tanus, 2012 WL 5868902,
at *5–6 (Del. Ch. Nov. 20, 2012) (deferring to a Texas action filed approximately two weeks
earlier); ODN Hldg. Corp. v. Hsu, 2012 WL 1345487, at *8–10 (Del. Ch. Mar. 30, 2012)
(deferring to a California action filed three weeks earlier); Follett Content Solutions, LLC v.
Literati, Inc., 2026 WL 1759536 (Del. Super. June 18, 2026) (deferring to a Texas action filed
three weeks earlier).
11
discretionary evaluation of whether a first-filed action should be stripped of its
entitlement to deference.
Delaware courts regularly accord this deference when there is an absence of
“race-to-the-courthouse” behavior or anticipatory filings that suggest tactical
maneuvering. 45 When both parties have been free to file their suits for a significant
period of time, there is a reasonable inference that no race to the courthouse
occurred. 46 On the other hand, actions are deemed “contemporaneous” to avoid
McWane deference where the record supports an inference of gamesmanship. 47
While AIG is correct that a sixteen-day gap between the two suits can fall
within the “contemporaneous” range under certain circumstances, the overall
circumstances here do not suggest that the Google Defendants initiated the
California Action as an anticipatory suit or an inequitable race to the courthouse.
45
See, e.g., Dura Pharm, 713 A.2d at 929 (granting a McWane stay in favor of a foreign action
filed one business day earlier because there was no “race to the courthouse” behavior); Lipman v.
Waste Med. Waste, Inc., 1991 WL 275762, at *1 (Del. Ch. Dec. 11, 1991) (granting a McWane
stay in favor of a foreign action filed two weeks earlier because plaintiff failed to show that the
earlier action was an effort to “jockey for position to obtain a tactical advantage.”).
46
See Dura Pharm, 713 A.2d at 929 (inferring no “race to the courthouse” conduct when both
parties were free to file for several weeks); See also CVR Ref, 2021 WL 3523925, at *8 (Del.
Super. Aug. 11, 2021) (“Therefore, if the parties were ‘free to file suit’ for a significant period of
time before the purportedly contemporaneous suits were filed, courts are more likely to find the
second-filed suit reactive and defer to the first-filed action.”).
47
See, e.g., AG Res. Hldgs., LLC v. Terral, 2021 WL 486831, at *3 (Del. Ch. Feb. 10, 2021)
(applying neutral Cryo-Maid balancing because “[t]he temporal proximity of the filings and the
mirror-image nature of the requests…suggest the parties were in a race to file”); Zilberstein,
2021 WL 5289104, at *4–5 (applying neutral Cryo-Maid balancing due to temporal proximity,
similarity in substance, and communications threatening litigation between parties preceding the
filings).
12
AIG characterizes the California Action as a “tactical maneuver to secure a favorable
forum” and asserts that the Google Defendants “engaged in forum manipulation.”48
The timeline of this dispute suggests otherwise.
Both parties agree that the Google Defendants began tendering the defense of
certain Underlying Claims to AIG in July 2024 and continued updating these tenders
through December 2025.49 In February 2025, AIG represented that it would provide
a coverage position letter within a few weeks.50 AIG has not challenged this fact.
The Google Defendants then waited approximately one year before filing the
California Action. Consequently, both parties were apprised of the Underlying
Claims and were free to file coverage suits for a significant period of time. As in
Dura Pharmaceuticals51 and CVR Refining 52, the Court finds that this significant
pre-suit timeline precludes a finding of any “race to the courthouse” conduct upon
which to base a denial of McWane deference.
AIG also asks the Court to infer tactical maneuvering by looking past the
California Action to an earlier, dismissed Delaware action between the Google
Defendants and Travelers (the “Travelers Action”).53 AIG attempts to link its
Delaware Action to the Travelers Action, reasoning that both insurers sought
48
Opp’n at 12, 31.
49
Opp’n at 5; Compl. ¶¶ 98–99; Reply at 8.
50
Reply at 8.
51
Dura Pharm, 713 A.2d at 929 (Del. Ch. 1998).
52
CVR Ref, 2021 WL 3523925, at *8 (Del. Super. Aug. 11, 2021).
53
Opp’n at 12–13.
13
declarations concerning the same coverage issues in connection with the Underlying
Claims.54 Because these actions are facially similar and the Google Defendants
resolved the dispute only after AIG’s Delaware Action was filed, AIG suggests that
the Google Defendants manipulated the litigation process to gain first-filed status in
the present dispute.55
The Court is unpersuaded. The Travelers Action was a separate, independent
dispute between Travelers and Google involving different policies and coverage
periods. It did not involve AIG. As the Google Defendants explain, the Travelers
Action “largely turned on the timing of the Travelers policies in question” and has
since been dismissed because those policies do not cover the alleged behavior of the
Google Defendants in the Underlying Claims.56 The Court declines to infer
manipulative behavior based on such a tenuous, if not altogether illusory,
connection.
Additionally, the parties’ natural alignment supports treating the California
Action as first-filed. Delaware courts consider natural alignment when deciding
whether a declaratory-judgment action is anticipatory or reactive.57 In the insurance-
coverage context, the insured is ordinarily the natural plaintiff. 58 Here, the Google
54
Id. at 12.
55
Id. at 12–13.
56
Reply at 6–7.
57
Nat’l Union, 2014 WL 703808, at *2–3.
58
A formal denial is not necessarily required before the insured may be treated as the natural
plaintiff. In Playtex, the court observed that “[t]he Illinois action appears to have been filed in
14
Defendants are the insureds seeking a declaratory judgment after waiting a
significant period of time for a coverage determination. Thus, the California Action
represents the natural alignment of the parties wherein the insureds seek coverage.
The Delaware Action, on the other hand, appears to be a reactive measure taken
against the California Action with the parties not in natural alignment.
Because the California Action was filed over two weeks before the Delaware
Action, and because the record does not support an inference of “race to the
courthouse” behavior on the part of the Google Defendants, the California Action is
a prior pending action and not contemporaneous with the Delaware Action for
McWane purposes.
2. The Parties and Issues Are Substantially the Same
AIG argues that the California Action does not “involve the same parties and
same issues.”59 In a McWane analysis, however, “the parties and issues in the
competing litigations rarely will be exactly identical.”60 Instead of perfect identity,
the analysis emphasizes substance over form, looking for “substantial or functional
anticipation of an action for damages by Playtex, the natural plaintiff.” Playtex, Inc. v. Columbia
Casualty Co., 1989 WL 40913, at *4 (Del. Super. Apr. 25, 1989); See also Nat’l Union, 2014 WL
703808, at *3 (“Taking into account the parties’ prior actions, the [C]ourt found it “reasonable to
presume that [the insured] would have filed suit if [the insurer] had denied coverage.”).
59
Opp’n at 27.
60
Choice Hotels Int’l, Inc. v. Columbus-Hunt Park DR. BNK Inv’rs, L.L.C., 2009 WL 3335332,
at *7 (Del. Ch. Oct. 15, 2009).
15
identity” such that the two actions share a “common nucleus of operative facts.”61
For coverage actions, this nucleus is comprised of the Underlying Claims and the
concomitant insurance coverage.62 Substantial identity will also be found where any
differences between the parties can be remedied by joinder.63
The competing actions in this matter are mirror-image declaratory suits
seeking opposite declarations. Each suit seeks a determination regarding the
coverage of the Underlying Claims under the relevant policies issued to the Google
Defendants by AIG. Thus, both actions share a common nucleus of operative facts.
AIG contends that because the Delaware Action names more insurers than the
California Action, implicating more claims, the actions do not involve the same
parties and issues.64 This argument is insufficient to defeat the “same parties, same
issues” prong for two reasons.
First, the additional claims asserted in Delaware are contingent upon the
determination of the fundamental coverage issue between the Google Defendants
and AIG. AIG’s Amended Complaint seeks a declaratory judgment as to the Other
Insurers “[t]o the extent the Court determines [AIG has] any obligation to provide
61
Zurich Am. Ins. Co. v. Sterigenics U.S., LLC, 2024 WL 324094, at *6 (Del. Super. Jan. 26,
2024) (citations omitted).
62
See Mine Safety Appliances Co. v. AIU Ins. Co., 2011 WL 300252, at *6 (Del. Super. Jan. 24,
2011).
63
McQuaide v. McQuaide, 2005 WL 1288523, at *4 (Del. Ch. May 24, 2005); see also Mine
Safety, 2011 WL 300252, at *6 (finding parties substantially similar because dissimilarity “can
be remedied by joinder.”).
64
Opp’n at 27.
16
coverage for any of the Underlying Claims.” 65 Consequently, the common nucleus
remains the Underlying Claims and the relevant AIG policies. AIG’s choice to
amend its complaint to join these Other Insurers does not defeat the substantial
identity of the fundamental claims at issue. 66
Second, any defect in perfect identity of parties can be remedied by joinder in
the foreign jurisdiction. AIG does not offer any reason to indicate that joining or
impleading the Other Insurers is not a viable option available in the California
Action. Instead, AIG points to the Google Defendants’ failure to join all the Other
Insurers in the California Action as evidence of an intent not to do so. 67 As the
Google Defendants rightly point out, they are free to select what coverage to
pursue.68 The critical point is that AIG fails to identify any jurisdictional or
procedural barriers preventing it from pursuing its Delaware claims against the Other
Insurers in the California Action.
Delaware law does not require a first-filed action to include every insurer or
every policy potentially implicated by a coverage dispute before McWane deference
65
Am. Compl. ¶ 118.
66
The parties dispute whether the contingent claims are ripe. See Mot. at 12–14; Opp’n at 28–29.
However, ripeness should not be conflated with the contingent nature of those claims for
purposes of a forum non conveniens analysis. The fact that these claims are contingent upon the
resolution of the fundamental coverage issue is what governs the substantial identity analysis
under McWane.
67
Opp’n a 14–15.
68
Reply at 17, fn. 8.
17
applies. 69 AIG cannot defeat first-filed status merely by naming additional insurers
and policies, especially when the requested relief is contingent upon the same
Underlying Claims and the same core policies. 70
3. The California Court Is Capable of Doing Prompt and Complete Justice.
AIG advances two arguments in support of its contention that the California
court cannot provide the prompt and complete justice McWane deference requires.
First, AIG asserts that only the Delaware Action can provide complete justice
because the California Action will not resolve AIG’s claim against several of the
Other Insurers or the Other Insurers’ crossclaims against the Google Defendants.71
Second, AIG contends that only the Delaware Action can provide prompt justice
because the California Action has not progressed and this Court is more familiar
with the underlying issues.72 Both arguments are unpersuasive.
At the outset, the Court notes that California courts are undoubtedly well-
acquainted with the coverage issues, because the vast majority of the Underlying
Claims are pending in California. AIG’s completeness argument merely repackages
69
See Mine Safety, 2011 WL 300252, at *5–7 (staying a Delaware action involving 31 insurers
and 125 policies in favor of a Pennsylvania action involving 4 insurers and 7 insurance policies
where joinder was a potential remedy).
70
Notably, AIG argues that a stay is functionally equivalent to a dismissal because a ruling in the
California Action would likely preclude AIG’s claims in the Delaware Action on res judicata
grounds. Opp’n at 15–17. The Court notes the inherent tension in arguing claim preclusion
while also arguing that the looser, more functional “same parties, same claims” prong of
McWane is not satisfied.
71
Opp’n at 4, 24, 27.
72
Id. at 23, 28.
18
its “same parties, same issues” argument. The absence of certain insurers from the
California Action, without more, does not demonstrate that the California court is
incapable of resolving the core coverage issues between Google and AIG. Once
again, AIG points to no concrete jurisdictional or procedural barriers preventing any
concerned party from being joined or intervening in the California Action. Any
alleged incompleteness of the California Action is a result of the parties’ strategic
litigation decisions, not the capability of the California Court.
The Court is similarly not persuaded by AIG’s promptness argument. This
argument rests on two assertions: first, that the California Action has not progressed
as far as the Delaware Action and, second, that this Court’s handling of the Meta
case gives it a comparative advantage in addressing similar legal issues. 73
The California Action has made meaningful progress. The “stay” AIG relies
on to demonstrate stalled progress was merely an administrative stay of discovery
and responsive pleading deadlines designed to assist the California court and the
parties in the management of this complex-designated litigation before the initial
Case Management Conference.74 This Court is sensitive to such case management
needs in cases designated as “Complex.”
73
Id. at 2–3; see Hartford v. Instagram, 2026 WL 623387 (Del. Super. Feb. 27, 2026)
(hereinafter, the “Meta case”).
74
Reply at 18–19.
19
In any event, the Case Management Conference was held on June 11, 2026,
the case was “activated,” and the parties were allowed to reserve motion dates.75
The Google Defendants reserved a date in early 2027 for two motions for summary
adjudication.76 AIG’s concerns regarding the pace of the California litigation are
groundless.
AIG points to the numerous filings on the docket in this matter to show how
much further along the Delaware Action is relative to the California Action.77 These
include the answers and motions of most of the Other Insurers and AIG’s own motion
for summary judgment.78 AIG’s unilateral actions in joining the Other Insurers and
filing a motion for summary judgment cannot be allowed to artificially create the
appearance of progress in an effort to defeat the prior-filed plaintiffs’ choice of
forum. Where, as here, the first-filed forum demonstrates orderly progress, the Court
will refrain from comparing docket item numbers or assessing the timeliness of
another court’s case management system in making a capability determination.
Finally, AIG cannot rely on this Court’s involvement in the Meta case to assess
the capability of another court to deliver prompt justice. While this Court may be
familiar with the Underlying Claims, coverage issues are tied to specific policy
75
Id. at 19.
76
Id.
77
Opp’n at 3.
78
Id.
20
language and fact-specific allegations in the underlying pleadings. Even if the Meta
case involved related Underlying Claims and similar policies, the Court still must
evaluate the present coverage dispute on its own record. Any minimal efficiency
gained by the Court’s familiarity does not render another court incapable of
rendering prompt justice.
AIG’s reliance on NRG Barriers for this point is inapposite.79 There, the
Delaware court declined to defer to a California action where there was no evidence
of proper service or any substantive progress in the California litigation. 80 The
plaintiffs in the California litigation had also litigated a contract that expressly
selected Delaware law. 81 None of these concerns are present here because the case
has progressed in California and is governed by California law.
The California Action thus meets all three McWane criteria and is entitled to
a presumption of a stay in its favor.
B. Plaintiffs Cannot Overcome the McWane Presumption
Although McWane creates a strong presumption in favor of a stay, the Court
still considers the remaining Cryo-Maid factors in exercising its discretion. 82 These
factors are: (1) the relative ease of access to proof; (2) the availability of compulsory
79
Opp’n at 28; see NRG Barriers, Inc. v. Jelin, 1996 WL 377014 (Del. Ch. July 1, 1996).
80
NRG Barriers,1996 WL 377014, at *6 (Del. Ch. July 1, 1996).
81
Id. at *6.
82
See Karpoff v. Atl. Concrete Co., Inc., 2023 WL 2260588, at *5 (Del. Ch. Feb. 28, 2023).
21
process for witnesses; (3) the possibility of the view of the premises, (4) all other
practical problems that would make the trial of the case easy, expeditious, and
inexpensive; and (5) whether the controversy is dependent upon the application of
Delaware law which the courts of this State more properly should decide than those
of another jurisdiction. 83 To rebut the McWane presumption, these factors “must
weigh heavily in favor of allowing the Delaware action to proceed.” 84 AIG has failed
to demonstrate that any factor weighs heavily in its favor.
Three of the Cryo-Maid factors are either irrelevant or carry little weight. The
relative ease of access to proof is accorded little weight because this is an insurance
coverage dispute centered primarily on documentary evidence. 85
Neither party presents concrete issues regarding the availability of
compulsory process. AIG points to the Google Defendants’ failure to name any
specific witnesses or anticipate potential testimony, and to Delaware’s “broader
compulsory process,” especially given that all three Google Defendants are
Delaware entities.86 The Google Defendants note that there are no known Delaware
witnesses and that their employees and the specific insurance brokers are located in
83
Gramercy Emerging Markets Fund v. Allied Irish Banks, P.L.C., 173 A.3d 1033, 1036–37 (Del.
2017) (quoting Gen. Foods Corp. v. Cryo-Maid, Inc., 198 A.2d 681, 684 (Del. 1964)).
84
Harris v. Harris, 2023 WL 355179, at *7 (Del. Ch. Jan. 23, 2023).
85
See Midwest, 2026 WL 2322234, at *4.
86
Opp’n at 20–21.
22
California.87 On these facts, without more, this factor does not weigh heavily in
favor of either party.
Both parties acknowledge that the possibility of viewing the premises is
entirely irrelevant.88
As to Delaware’s particular interest, the present controversy is not dependent
upon Delaware law, and AIG has offered nothing to indicate that Delaware courts
have a strong interest in deciding the issue vis-a-vis the courts of other jurisdictions.
This factor carries sufficient weight to rebut the McWane presumption only if
Delaware has a particularly compelling interest in the dispute. Delaware courts have
found such an interest if the case requires resolving questions of first impression
under Delaware law or when specialized Delaware statutory proceedings are
invoked.89
Here, the insurance coverage dispute and the Underlying Claims are governed
by California law. There are no novel issues of Delaware law, no specialized
Delaware statutory proceedings, and AIG fails to point to any particularly strong
interest that Delaware may have in this case. In support of this factor, AIG simply
87
Mot. at 21.
88
Mot. at 22, n. 9; Opp’n at 17, n. 11.
89
See Ryan v. Gifford, 918 A.2d 341, 350 (Del. Ch. 2007) (denying a McWane stay due to
Delaware’s interest in resolving novel questions of Delaware corporate law); Principal Growth
Strategies, LLC v. AGH Parent LLC, 288 A.3d 1138, 1155–58 (Del. Ch. 2023) (declining to
apply McWane because the case involved a specialized delinquency proceeding).
23
acknowledges that Delaware is capable of applying California law.90 The Court
agrees, but this unremarkable proposition does not somehow tip this factor heavily
in AIG’s favor.
AIG also attempts to inflate Delaware’s interest in this case by emphasizing
that all three Google Defendants are incorporated in Delaware. 91 Once again, while
this fact is true, it simply does not create a Delaware interest sufficient to weigh this
factor in favor of AIG. 92
The parties’ arguments mainly fall within the remaining “all other practical
considerations” factor, which incorporates the animating forum non conveniens
concerns.93 Here, the main concerns involve the inevitable risk of inconsistent
results, loss of judicial efficiency, and a lack of comity that is present when two
courts are adjudicating the same insurance contracts.94 All three of these
interconnected concerns counsel in favor of staying the Delaware Action.
90
Opp’n at 21–23.
91
Id. at 31–33.
92
See GXP Capital, LLC v. Argonaut Mfg. Servs., Inc., 253 A.3d 93, 106 (Del. 2021) (finding no
significant Delaware interest in a contract and tort dispute despite defendants’ Delaware
incorporation).
93
Id. (“[W]here it is appropriate, a trial court may weigh the efficient administration of justice
and analogous considerations under the rubric of the ‘Other Practical Considerations’ Cryo–Maid
factor.”).
94
See Bright Data, Inc. v. Meta Platforms, Inc., 2023 WL 5322293, at *6 (Del. Super. Aug. 18,
2023) (finding that two courts adjudicating the same contractual dispute would risk waste of
judicial recourse and inconsistent resolution on the issues).
24
The risk of conflicting rulings is clear: if the Delaware Action proceeds in
parallel with the California Action, this Court and the California court could interpret
the same insurance policies in contradictory ways. In the event both plaintiffs
succeed in