Under federal law, the Declaratory Judgment Act allows declaratory relief when this law applies to a particular case. Courts have traditionally held that an insurance company has no right to intervene in the liability action against the insured to seek a coverage determination.To establish federal jurisdiction in a declaratory judgment action, two conditions must be satisfied. First, is the constitutional inquiry. If an insurance company has refused to defend a lawsuit, or if you are facing a declaratory relief action, you need an experienced insurance lawyer. Plaintiff must file this cover sheet with the first paper filed in the action or proceeding (except small claims cases or cases filed. 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. , San Diego County Superior Court case no. 37-. Cuyamaca Water Co., 209 Cal. This Appendix provides a summary of cases in which state issued declaratory judgments in family law related matters.