The wiki (https://community.bistudio.com/wiki/addRating) says:
When the rating gets below -2000 [because of friendly fire], the unit's side switches to "ENEMY" (sideEnemy) and the unit is attacked by everyone.(see Rating Values).
But it can get below -2000 just from squad members dying "normally" and the player becoming "ENEMY". Only if it's already below -2000, nothing more gets subtracted.
Looks like a wrong check to me, or is it supposed to be that? I think it should never reach below -2000 just from your team dying in battle. {F25481} {F25482}