FATICO May Proceed With Counterclaim Against ORNTIC, Fla. Federal Judge Rules

TAMPA, Fla. — First American Title Insurance Co. may proceed with its counterclaim against its reinsurer to the extent it alleges that the reinsurer breached the reinsurance agreement by failing to timely pay its claim under a reservation of rights and refused to pay defense fees and costs, a Florida federal judge has ruled.

On April 6, Judge James S. Moody Jr. of the U.S. District Court for the Middle District of Florida also refused to dismiss FATICO’s claim of breach of the utmost duty of good faith to the limited extent that it accuses Old Republic National Title Insurance …