I'm a taxi driver in chicago. One night I was driving to pick up my fare, I just made a turn on a side street this guy backed up from an alley hitting my rear bumper. He tried to convince me that I was driving too fast and pointed to another car that was in the same alley saying there is a witness.

There was no damage on both cars whatsoever so I told him it's his call weather he wants to file police report or not. We exchanged names and phone numbers (no insurance information though) upon his request but he didn't want to file a report. I thought He realized it was his fault so I let him go. I did snap few photos with my cell phone just in case, where it's obvious that his car was in the alley together with witness car while my cab was on the street.

Now I got call from my insurance saying that he filed a suit. I will go tomorrow to my insurance company to file a report and give them pictures.

He is obviously looking for a handout. I suspect this was all prearranged with the witness, because as he backed up into me he accelerated instead of slowing down, even though I blew my horn at him.

What is the best course of action and can I counter sue him to make him pay for my wasted time or whatever? I don't mind spending money to make him suffer.

I'm having back problems and I could have sued him, but I'm not thak kind of a person. I didn't wants his insurance to go up for no good reason. That's what happens when one tries to be good to other people.

Thanks for reading my rant

No good deed ever goes unpunished.

You give them a statement, and yes, there are crews of con people who look for cars they know will have high insurance
Cabs, business vans and the such. And stage wrecks, popular are stop lights, they start forward and stop real fast, and you run into them.

I am not sure how they backing into you ( and hitting your rear bumper) if they hit your front bumper and tried to say you hit their rear, that would make sense

Thanks for the answer.
He was backing from an alley pretty fast and when I saw him instead of braking I accelerated in an attempt to avoid him, that's why he hit left side of my rear bumper. Now when I think about it I believe that he tried to get in front of my car so I would rear end him (had I slammed on my brakes he would've succeeded). Now I'm not sure on what basis he's suing, but we shall see soon.
Any recommendations for counter suing him?

A car exiting from a driveway needs to yield to a car in the road. You had the right of way. Just let your insurance carrier handle it.

If the other driver's contact was with your insurance company and you were not served papers he did not begin a lawsuit against you - he filed a claim with your insurance company.

And a Police Report is 99.9% an after the accident, witness statement. Nice to have one but not a necessity and certainly not a determining factor when it comes to fault.