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Rescission Suit Against Blue Shield Dismissed

Law360 (May 29, 2009, 12:00 AM EDT) -- A California judge has dismissed a case against Blue Shield of California after a state resident, who accused the health insurer of unfairly rescinding his coverage after he was reportedly injured in a car accident, stipulated that he and his wife lied on their application for health insurance.

Judge Peter J. Polos issued a directed verdict in favor of Blue Shield in the Superior Court of California for the County of Orange on Thursday, after Cindy and Steve Hailey reversed allegations they had maintained since 2001....
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