“Collateral lies” acceptable in claims rules court
Supreme Court decides that “collateral lies” should not invalidate a claim.
The Supreme Court has ruled insurers must still pay out on claims even when a claim features a "collateral lie".
The ruling came after a dispute ove damage to a Dutch cargo ship called DC Merwestone.
It suffered from water ingress, which caused flooding to the engine room and incapacitated the vessel.
When an insurance claim was made an investigation revealed that some ship staff had lied and stated they were unable to investigate the flood alarm due to heavy seas.
This was described as a
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