Judge Refuses To Dismiss Insurer’s Rescission Counterclaim In IFCA Coverage Dispute

Mealey's (February 14, 2023, 2:11 PM EST) -- CHICAGO — A federal judge in Illinois denied a telecommunications business insured’s motion to dismiss an insurer’s counterclaim seeking to rescind a directors, officers and corporate liability insurance policy in the insured’s breach of contract and bad faith lawsuit arising from underlying allegations under the Illinois False Claims Act (IFCA), finding that the insurer sufficiently alleged that the policy renewal application contained a misrepresentation by omission....