Case Details

ERC v. ANICO (HC)

Colin Wynter led Ben Lynch in this recent action brought by London reinsurers (ERC, formerly Eagle Star Reinsurance) for a declaration that they had validly avoided their reinsurance of the USA insurance company, American National ("Anico").

Reinsurers claimed that American National failed to disclose, prior to inception of the reinsurance, that the President and Chief Operating Officer of Anico was a convicted felon (fraud) and had been sentenced to imprisonment. At issue was whether knowledge of the fraud conviction was had by Anico prior to inception of the reinsurance in September 1998 or, as claimed by Anico, only as recently as the summer of 2002.

The trial was heard by Smith J. in the Commercial Court. Judgment is awaited.