Ill. Federal Judge Refuses to Reconsider Dismissal of Bad Faith Claim Against Enstar, Subsidiary

CHICAGO — A federal judge to reconsider her dismissal of a bad faith claim asserted against the owners of Fletcher Reinsurance Co. in connection with its refusal to pay reinsurance billings, reiterating that under Illinois law, such claims cannot be asserted in connection with reinsurance contracts, only insurance contracts.

However, on April 29, Judge Virginia M. Kendall of the U.S. District Court for the Northern District of Illinois allowed Stonegate Insurance Co. to amend its claim for tortious interference with contract.

Beginning in 2012, Fletcher’s predecessor, Maiden Reinsurance North America Inc., reinsured Stonegate’s automobile and commercial insurance lines under …