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Patricia O'Connell
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Laura Foggan Weighs in on Illinois Supreme Court Ruling on "Innocent Insured" Doctrine

February 26, 2015

Laura A. Foggan, chair of Wiley Rein’s Insurance Appellate Group, was quoted in a Law360 article published yesterday about a recent Illinois Supreme Court ruling that an insurer can rescind a law firm’s malpractice policy, a result that was not affected by an innocent insured doctrine.  An attorney allegedly lied to his firm’s insurer when he said he was unaware of any potential malpractice claims.  The court ruled that the innocent insured doctrine, normally used in enforcement of policy exclusions, doesn’t apply to rescission.  Ms. Foggan indicated that the ruling “informs the basic principles of the rescission defense” and “reflects basic concepts of how rescission works.”

“The focus is on the formation of the contract and effect of the misrepresentation, not the application of the innocent insured idea,” Ms. Foggan told Law360.

To read the entire article, click here.