The Alexander T, owned by the appellant and insured by the respondents was a total loss. The insurers resisted payment, the appellant came to allege improperly, and the parties had settled the claim on full payment under a Tomlin Order. The owners later began proceedings in Greece claiming what the defendants said were the same or similar claims. At first instance, Burton J gave them summary judgment for (inter alia) a declaration that the matters sought to be raised in Greece were part of the settlement of the claim and that Starlight (and their Managers) were bound to indemnify the insurers against any costs incurred and any sums that may be adjudged against them in the Greek proceedings. Starlight appealed.
Held: All the English applications/actions should be stayed because the causes of action relied on in England are essentially the same as the causes of action relied on in Greece. ‘If therefore the original English action (2006 Folio 815) and the subsequent Greek actions are related (as I think they are), it was the English court which was first seised of one of those related actions. This court, as the court first seised, has no jurisdiction to stay its own proceedings, so no question of discretion arises and issues (B)(iv) and (v) do not arise. ‘
Judges:
Longmore, Toulson, Rimer LJJ
Citations:
[2012] EWCA Civ 1714, [2013] ILPr 15, [2013] 1 Lloyd’s Rep 217, [2013] 1 All ER (Comm) 1297, [2013] 1 CLC 123
Links:
Statutes:
Jurisdiction:
England and Wales
Citing:
Appeal from – Starlight Shipping Company v Allianz Marine and Aviation Versicherungs Ag and Others (Alexandros T) ComC 19-Dec-2011
Starlight had sued its insurers for payment under policies with regard to the Alexandros T. After allegations of serious misconduct were made against some of the insurance underwiters, the matter was settled with full liabiity under the terms of a . .
Cited – Apostolos Konstantine Ventouris v Trevor Rex Mountain, The Italia Express No 2 QBD 1992
A contract of marine insurance is not one to provide peace of mind or freedom from distress.
An assured cannot recover for losses caused by the insurer’s wrongful refusal to pay a valid claim. Interest on the sum is an adequate compensation. . .
Cited – Sprung v Royal Insurance (UK) Ltd CA 1999
An insured cannot recover damages at large for an insurer’s failure to pay. Interest on sums due under a policy is adequate compensation for late payment; this is so, even if an insurer deliberately withholds sums which he knows to be due under a . .
Cited – Gubisch Maschinenfabrik KG v Giulio Palumbo ECJ 8-Dec-1987
The claimant in Germany sought to enforce a contract by claiming the price of a delivered machine; the claimant in Italy asked for a declaration that no contract had been entered into or, if it had, that it had been discharged by repudiatory conduct . .
Cited – Erich Gasser GmbH v MISAT Srl ECJ 9-Dec-2003
The claimant Austrian company had for many years sold goods to the defendant an Italian company. Eventually it presented a claim before the court in Italy. Having obtained judgement, it later sought to enforce the order through the Austrian court . .
Cited – Turner v Grovit ECJ 27-Apr-2004
The claimant had been employed as a solicitor by the respondent at locations across Europe, and came to claim in England that they had wrongly implicated him in unlawful activity. The company sought to issue proceedings in Spain.
Held: The . .
Cited – West Tankers Inc v Ras Riunione Adriatica Di Sicurta Spa and others (The Front Comor) HL 21-Feb-2007
A ship had foundered, and the owners disputed their insurance claim. The policy provided for arbitration in London, and one party sought an order to prevent the other commencing proceedings in another EU state in breach of the arbitration agreement. . .
Cited – Henderson v Henderson 20-Jul-1843
Abuse of Process and Re-litigation
The court set down the principles to be applied in abuse of process cases, where a matter was raised again which should have been dealt with in earlier proceedings.
Sir James Wigram VC said: ‘In trying this question I believe I state the rule . .
Cited – The owners of the cargo lately laden on board the ship ‘Tatry’ v The owners of the ship ‘Maciej Rataj’ ECJ 6-Dec-1994
ECJ On a proper construction, Article 57 of the Brussels Convention on jurisdiction and the enforcement of judgments as amended means that, where a Contracting State is also a contracting party to another . .
Cited – Johnson v Gore Wood and Co HL 14-Dec-2000
Shareholder May Sue for Additional Personal Losses
A company brought a claim of negligence against its solicitors, and, after that claim was settled, the company’s owner brought a separate claim in respect of the same subject-matter.
Held: It need not be an abuse of the court for a shareholder . .
Cited – Evialis S A v SIAT and others ComC 16-Apr-2003
The defendant insurers had issued a certificate in respect of a cargo of cotton pellets which were the subject of a cif sale and had been damaged in the course of a voyage between Abidjan and Rouen. In June 2002 the insurers brought proceedings in . .
Cited – Gantner Electronic GmbH v Basch Exploitatie Maatschappij BV ECJ 8-May-2003
The dutch based claimant sought damages for wrongful termination of what it said was a long-term contract. The claimant in Austria claimed the price of goods sold and delivered pursuant to a number of one-off contracts to which the defendant . .
Cited – JP Morgan Europe Ltd v Primacom Ag and Another ComC 5-Apr-2005
The claimant in England sought to recover a loan made pursuant to a facility agreement; the claimant in Greece sought a declaration that the facility agreement was invalid. The defendants sought a stay of the action brought against them here.
Cited – Underwriting Members of Lloyd’s Syndicate 980 and others v Sinco Sa ComC 29-Jul-2008
The claimants, insurers, relied upon an exclusive jurisdiction clause contained in a binder given to a Greek broker. It set England and Wales for any dispute. The insurers had terminated the binder alleging fraudulent conduct by the broker. A . .
Cited – Stribog Ltd v FKI Engineering Ltd CA 25-May-2011
The defendants sought a stay of the proceedings on the ground that there were related actions already in existence in Germany.
Held: Rix LJ said:
As to article 27, Rix LJ said: ‘where the ‘same cause of action’ or the ‘same parties’ are . .
Cited – Blue Nile Shipping Co Ltd; Khalil v Iguana Shipping and Finance Inc Owners of the Ship Happy Fellow CA 25-Jul-1997
A French collision action preceded English proceedings by one of the owners to limit his liability. The parties disputed whether the fact that that owner subsequently admitted liability in France so that the only remaining issue was that of . .
Cited by:
At CA – In re The Alexandros T SC 6-Nov-2013
The parties had disputed insurance claims after the foundering of the Alexandros T. After allegations of misbehaviour by the underwriters, the parties had settled the claims in a Tomlin Order. Five years later, however, the shipowners began . .
Lists of cited by and citing cases may be incomplete.
Insurance, European
Updated: 12 November 2022; Ref: scu.467240