In the case of Faraday Reinsurance Co Ltd v (1) Howden North America Inc (2) Howden Buffalo Inc [2011] EWHC 2837 (Comm), Howden sought to set aside an order allowing Faraday to serve it with proceedings out of the jurisdiction.
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UK: High Court Quantifies an Insurer’s Loss of Opportunity to Secure a Different Result
In Milton Keynes Borough Council v (1) Michael Nulty, Deceased (2) Wing Bat Security Ltd (Formerly DBI Support Services Ltd) and (3) National Insurance & Guarantee Corporation Ltd : National Insurance & Guarantee Corporation Ltd v (1) Michael Nulty, Deceased (2) Milton Keynes Borough Council (2011) EWHC 2847 (TCC), two parallel actions, the High Court was required to determine the cause of two fires at a recycling centre, and the extent of the liability of the National Insurance & Guarantee Corporation Ltd (NIG) to indemnify the first defendant, Mr Nulty, if he was found by the court to have caused the fires. …
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UK: High Court Upholds Non-invalidation Clauses in Relation to Breaches of Warranty in Insurance Contracts
In The Seashell of Lisson Grove Ltd & Ors v Aviva Insurance & Ors [2011] EWHC 1761 (Comm), Mr Justice Teare decided three preliminary issues in relation to the construction of clauses in property insurance contracts which purported to ameliorate the effects of breaches of warranty and misrepresentations and non-disclosures. Teare J found for the insured on each issue, as set out below. …
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UK: High Court Rejects Appeal Concerning Alleged Arbitrators’ Error of Law
Micoperi SrL (Micoperi) v. The Shipowners’ Mutual Protection & Indemnity Association (Luxembourg) (the Club) concerned an appeal by Micoperi under section 69 of the Arbitration Act 1996 (AA) that the arbitrators in their Partial Final Award in an arbitration between Micoperi and the Club had made an error of law. …
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UK: Court Finds a ‘Follow the Leader’ Clause Applies to Both Quantum and Liability Issues
The Commercial Court has held that a “follow the leader” clause was to have a broad application and was not restricted to quantum unless there was clear language indicating such restriction. …
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UK: Commercial Court Sails to the Rescue of Cruise Operator, Leaving Insurers Floundering
In All Leisure Holidays Limited v Europaische Reiseversicherung AG & Ors the Commercial Court held that insurers were liable to indemnify the claimant under a Passenger Protection Insurance Policy (the Policy). …
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UK: Mesothelioma – Fairchild Principles of Proof Apply Only to the Need to Prove Causation
In Williams v University of Birmingham [2011] EWCA Civ 1242 the Court of Appeal analysed the correct approach to proving liability in a mesothelioma case. The Court emphasised that the relaxation of normal principles of proof in relation to mesothelioma claims, laid down by the House of Lords in the Fairchild case (Fairchild v Glenhaven Funeral Services Ltd [2002] UKHL 22), apply only to the need to prove causation. …
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UK: The FSA Proposes Tougher Rules for Insurance Policies Within Packaged Bank Accounts
The Financial Services Authority (FSA) has proposed tougher new rules for those selling insurance as part of packaged bank accounts in a recent consultation paper (CP11/20). …
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UK: EIOPA Submits Solvency II Equivalency Assessments on Bermuda, Japan and Switzerland
On 26 October 2011, the European Insurance and Occupational Pensions Authority (EIOPA) submitted its final advice to the European Commisson (EC) on its assessment of the Solvency II equivalence of the supervisory systems of Bermuda, Japan and Switzerland. …
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UK: High Court Rules Against FSA in Keydata Privilege Dispute
In the recent case of R (on the application of Stewart Ford) v FSA [2011] EWHC 2583, Mr Justice Burnett considered the criteria for establishing joint interest legal privilege. The case was a judicial review of a decision taken by the FSA’s Regulatory Decisions Committee arising out of the FSA’s investigation into the activities of Keydata Investment Services Ltd (“Keydata”). …
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