DAVIES AND ANOTHER v. HOSKEN.

(1937) 58 Ll.L.Rep. 183

KING'S BENCH DIVISION.

Before Mr. Justice Porter.

Solicitors indemnity insurance-Fraud of unadmitted clerk-Claim under policy covering loss "arising from any claim or claims . . . by reason of any neglect, omission or error whenever or wherever the same was or may have been committed or alleged to have been committed on the part of the firm or their predecessors in business or any person now or heretofore employed by the firm or their predecessors in business or hereafter to be employed by the firm during the subsistence of this policy in or about the conduct of any business conducted by or on behalf of the firm or their predecessors in business in their professional capacity as solicitors" -Sums handed over to clerk by solicitors' clients to be secured by mortgage -No valid security in fact provided -Admitted fraud of clerk- Clients' claim against solicitors settled -Whether a loss arising from claims "by reason of any neglect, omission or error"-Authority of clerk.