In this task, you will be shown a prompt from a judicial decision and multiple holding statements derived from citations following text in a legal decision.  Holdings represent the governing legal rule when the law is applied to a particular set of facts. There are five answer choices for each citing text. The correct answer is the holding statement that corresponds to the citing text. You should write an incorrect option. Even though there exist multiple wrong answers, we only need a single wrong answer. There is a <HOLDING> token in the position of the citing text prompt where the holding statement was extracted.

Q: citizens of Alabama for purposes of the diversity jurisdiction analysis. This narrow and specialized statute provides in pertinent part: In any direct action against the insurer of a policy or contract of liability insurance, whether incorporated or unincorporated, to which action the insured is not joined as a party-defendant, such insurer shall be deemed a citizen of the State of which the insured is a citizen. Andalusia and Hughes, who are insureds but not parties defendant, contend that a realignment of Lane will make the case into a direct action by Lane against the insurers, and because it is one in which the insureds are not joined as parties defendant, diversity would be destroyed by § 1332(a)(1). This contentio d.2d 73 (1974). But where the s 13 F.Supp. 367, 371 (D.Conn.1970) (<HOLDING>), rev’d on other grounds, 456 F.2d 282 (2d 
 Holding statements: (A) holding action by insured against his own insurer under uninsured motorist provisions of policy not a direct action within section 1332c proviso (B) holding that insured cannot bring an action against its insurer for bad faith failure to settle a claim in the absence of an excess verdict (C) holding action by judgment creditor of insured against insurer for bad faith failure to settle claim against insured not a direct action within section 1332c proviso (D) holding that insured may recover attorneys fees from insurer where insurer acts in bad faith (E) holding that a negligence claim against an insured and a bad faith claim against the insurer are not separate as the first must be proved to prevail on the second

A: holding action by insured against his own insurer under uninsured motorist provisions of policy not a direct action within section 1332c proviso
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Q: the evidence presented by the summary judgment record in a light most favorable to the party against whom the summary judgment was rendered, crediting evidence favorable to that party if reasonable jurors could and disregarding contrary evidence unless reasonable jurors could not. Mack Trucks, Inc. v. Tamez, 206 S.W.3d 572, 582 (Tex.2006) (citing City of Keller v. Wilson, 168 S.W.3d 802, 827 (Tex.2005)). When both sides move for summary judgment, and the trial court grants one motion and denies the other, the reviewing court considers both sides’ summary judgment evidence and determines all issues presented. Valence Operating Co. v. Dorsett, 164 S.W.3d 656, 661 (Tex.2005). Where the trial court does not specify the g rv., Inc., 798 S.W.2d 606, 615 (Tex.App.-Dallas 1990, writ denied) (<HOLDING>). Thus, the absence of a causal connection 
 Holding statements: (A) holding that plaintiffs consequential damages were too speculative because no evidence connected damages to defendants breach of contract (B) holding that erisa provides relief only for clearly ascertainable damages with the intent to make plaintiffs whole which precludes recovery for speculative future harm (C) holding that no recovery exists for speculative damages (D) holding that nominal damages award was appropriate where the evidence supporting the damages was speculative (E) holding such damages available where local law silent on issue speculative nature of damages does not preclude recovery

A: holding that plaintiffs consequential damages were too speculative because no evidence connected damages to defendants breach of contract
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Q: CMI customers pay up to $15,000 to attend “trust academies” run by TES. (Aldridge Trial Tr. at 1287-88, 1295; T. Galley Dep. at 28; S. Galley Decl. ¶¶ 8-9). At these trust academies, customers set up a collection of trusts for the purposes of holding title to customers’ assets and paying their expenses, thereby allowing customers to deduct most of their personal expenses. (RFA 18, 22). CMI and defendant represent that these trusts will allow conversion of up to 97% of income to a tax shelter with “full disclosure to the IRS.” (S. Galley Decl. ¶¶ 14, 22; RFA 16; Fields Dep. at 41-42). The IRS may disregard an entity for tax purposes where such entity lacks economic substance. Richardson, 509 F.3d at 741; see also Coltec Indus., Inc. v. United States, 454 F.3d 1340, 1354 (Fed.Cir.2006) (<HOLDING>). To determine whether a trust has sufficient 
 Holding statements: (A) holding that the economicsubstance doctrine is a judicial tool for effectuating the underlying congressional purpose that despite literal compliance with the statute tax benefits not be afforded based on transactions lacking in economic substance (B) holding complete prohibition on use of crime or accident reports for purpose of soliciting clients too broad a means of effectuating the intended purpose of the law (C) recognizing that an issuer has the primary obligation to pay on letter of credit such that literal compliance with the letter of credits terms for payment is all that is required (D) holding that equitable considerations did not toll the statute of limitations under the tort claims act where plaintiffs conduct was not in strict compliance with congressional waiver of immunity (E) recognizing that the purpose of the setoff doctrine is to prevent circuity of judicial actions

A:
holding complete prohibition on use of crime or accident reports for purpose of soliciting clients too broad a means of effectuating the intended purpose of the law
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