The court considered the wording, in the context of a second-hand ship sale and purchase market, ‘average damage’.
Held: ‘Average’ here could not mean ‘damage’ simpliciter and was understandably construed to mean a particular kind of damage – namely, damage occasioned by a peril ordinarily covered by insurance as opposed to defects through wear and tear or general old age.’
Citations:
[1981] 2 Lloyd’s Rep 333
Cited by:
Cited – Cosco Bulk Carrier Co Ltd and Another v M/V ‘Saldanha’ C/P Dated 25/06/08 ComC 11-Jun-2010
The court considered the effect of a ship being taken by pirates at sea on the obligations in the charterparty contract. The insurers said that a claim for ‘average accident’ must include an element of physical damage – absent in this case.
Lists of cited by and citing cases may be incomplete.
Transport, Insurance
Updated: 02 May 2022; Ref: scu.416717
