Allstate then filed the instant declaratory judgment action in the Oakland Circuit Court. Find the best insurance claims attorney serving Oakland.A declaratory judgment action is a type of lawsuit that allows businesses and individuals to seek a court's conclusive ruling on an uncertain legal issue. Find Your Court Forms. A California federal court has held that neither sending a reservation of rights letter nor the mere filing of a suit seeking recission or declaratory relief It is most common in insurance coverage disputes, but also is used in business and employment disputes. Consider service of a Notice to Admit (C. The absentee or interested party (or parties) must apply for the revocation of the said declaratory judgment, then it can be annulled.