K/S MERC-SCANDIA XXXXII v CERTAIN LLOYD’S UNDERWRITERS OCEAN MARINE INSURANCE CO LTD AND ORS

[2000] Lloyd's Rep IR 694

QUEEN’S BENCH DIVISION (COMMERCIAL COURT)

Before Mr Justice Aikens

Insurance (marine liability) - Marine Insurance Act 1906, section 17 - Claim against assured by third party - Underwriters taking over assured’s defence - Assured denying validity of exclusive jurisdiction clause and producing forged letter denying authority of agent - Post-contract fraud - Utmost good faith - Whether forged letter breach of post-contract duty of utmost good faith - Whether material - Whether underwriters induced by false statement - Effect of immaterial fraud - Notice of claims clause - Effect of breach by assured - Innominate term - Whether underwriters suffering serious consequences due to breach - Assured becoming insolvent - Third Parties (Rights against Insurers) Act 1930.