The High Court has continued an anti-suit injunction against a defendant, having been satisfied to a high degree of probability that the parties had agreed to submit their dispute to London arbitration. The central question was one of contractual interpretation: whether, on a true interpretation of the relevant excess insurance policy, the 'service of suit' clause entitled the insured to pursue its substantive claim against its insurers before a US court or whether it had to arbitrate.
The High Court recently considered a negligence claim against an insurance broker which had arisen out of a fire at a waste recycling facility. In its decision, the court provided a useful recap on brokers' duties – in particular, their duty to advise clients on their pre-inception duties of disclosure. Notably, the judge considered how causation should be analysed in brokers' negligence cases where the insured has not pursued the claim against its insurer to settlement, judgment or award.
In holding that a broker was not in breach of duty by failing to give oral advice in relation to the disclosure of criminal convictions, the High Court has provided a useful reminder of the extent of a broker's duty to advise in relation to disclosure. The court also held that a lack of expert evidence materially limited, but did not exclude, the possibility of a finding that the broker had breached its duty to act with reasonable care and skill.