Royal Sun Alliance Insurance plc v Rolls Royce plc [2010] EWHC 1869 (Comm), 21/7/10
Location: Case TypesInsurance    
Posted by: Law Brief Publishing 23/09/2010 3:52 PM
The 'mermaid pod' was a self-contained marine propulsion device containing a propeller shaft and an electric motor which drove the propeller. The device was designed to be attached to the bottom of ships, and the pod could be rotated allowing it to steer the ship as well as to propel it. The device was developed by an international consortium, including a group of companies purchased by the defendant, an English company, and its subsidiary companies. The defendant had obtained primary and excess layer policies governed by English law from the claimants, who were predominantly insurers based in London, covering the defendant and its subsidiary and associated companies with respect to general liability risks, construction all risks, and professional indemnity risks. Insurers refused to indemnify the Claimant on the basis for a number of reasons including interpretation of the policies, factual and technical issues and notification points. The defendant issued proceedings in the US under the insurance polici es, seeking a declaration that the various insurance policies were responsible, and that they were entitled to an indemnity. However, the claim was by an English insured company against predominantly English insurers under an insurance policy subject to English law and placed by London market brokers. Accordingly, the defendant had not shown that the US court was the most appropriate forum for the trial of the claim.
Court: High Court (Commercial Court) (England and Wales)
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