Selective Insurance Company of South Carolina v. Cherrytree Companies, Inc.

Illinois Appellate Court
Civil Court
Citation
Case Number: 
2013 IL App (3d) 120959
Decision Date: 
November 4, 2013
District: 
3d Dist.
Division/County: 
Bureau Co.
Justice: 
CARTER
Holding: 
Reversed and remanded.
Insurer filed declaratory judgment action against construction company it insured under CGL and umbrella liability policy. Insurer denied coverage for problems in nearly-completed grain storage facility, on basis that problems were not an "occurrence" under policy. Court erred in dismissing with prejudice company's counterclaims for bad faith. Policy did not require filing of a "suit" before insured could seek indemnification for damages it agreed to pay its subcontractor. (HOLDRIDGE, concurring; SCHMIDT, specially concurring.)