Joint Analysis of ‘Renos’ Case by Trinity Insurance Barrister

In a follow up to his initial review of “The Renos” case written jointly with Maria Carolina de Franca of Vieira Rezende lawyers, insurance barrister, Graham Bartlett has written a further joint article published in the latest edition of The Journal, the Chartered Insurance Institute's leading insurance industry publication. The article examines the Supreme Court’s judgement given in June 2019 The Renos (Sveriges Angfartygs Assurans Forening (the Swedish Club) & Ors v Connect Shipping Inc & Ors) [2019] UKSC 29 

The landmark marine insurance case involved the financial implications of expensive repairs to a merchant ship. In 2012 the ship was on a laden voyage in the Red Sea when a fire broke out in the engine room causing extensive damage.

The main issues of the case revolved around notice of abandonment (NOA) of a constructive total loss (CTL). The insurers appealed the previous judgement, covered in Graham’s initial article, on the basis that the insured vessel was a CTL on the grounds that costs incurred before the assured tendered the NOA should be excluded from the CTL calculation. In addition, they argued that environmental damage (SCOPIC) charges should also be excluded from the calculation.

The Supreme Court found that recovery costs incurred before service of the NOA should be included in the CTL calculation, but that SCOPIC charges should not be.

An edited version of the article can be found on Graham’s Blog.

Graham’s practice is focused on insurance related litigation following his career as a Chartered Loss Adjuster. He is therefore able to provide practical and pragmatic insight in cases involving all aspects of insurance disputes. He also deals with building and construction disputes involving damage to both residential and commercial property, as well as claims under the insurance clauses in the JCT Standard Form of Building Contract and on Contractors All Risks insurance policies.

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