We have settled claims under the following types of Policy:
Surety / Performance Bonds
Our aim is to avoid litigation by attempting a negotiated settlement and then to review ADR pathways including Arbitration.
It is common for insurers to deny a claim after an insured event occurs. Insurers will use this tactic to buy time to establish whether cover applies and, if so, the amount which they are liable to pay under the contract of insurance. They will seek to test whether representations, warranties and the utmost good faith duty to disclose relevant and material information was provided upon inception of the cover. This allows the retention of premium income and an improvement in investment income. On the other hand, they also have incentives to settle quickly if a claim is likely to succeed as this can release provisions made once an insured event is notified.
We have associates who are qualified Mediators and Adjudicators (construction) should those pathways be more appropriate.
Arbitration requires party consent. It can arise under a pre-existing Arbitration Clause in the underlying agreement but also after a dispute has arisen if the parties agree to that. This requires a binding agreement which incorporates their choice of rules and jurisdiction.
Arbitration under most rules (ICC, LCIA etc.) can be lengthy and expensive. It does, however, have the benefit that Awards are internationally enforceable.
Our Principal can act either as an Arbitrator or simply strategic adviser to the client. Or alternatively, as an Expert Witness where there is relevant Expertise.
Avoid allowing legal (and other) advisers to unilaterally define and execute their own work plans.
Negotiate hard on professional and legal fees.
Insist on budgets, reports on variances at milestones.
Put in place controls, milestones (time and cost) and incentives.
Continuously monitor work, costs, progress and significant departure from the ‘plan’.
Prepare a well drafted ‘Statement of Case’ – force out key issues and spot weaknesses in evidence and legal argument.
Explore a negotiated settlement – prevent the situation from escalating, early resolution through compromise.
Explore Alternative Dispute Resolution pathways.
Prepare briefs, choose and appoint professional / legal team.
Commence ADR or litigation.
A consortium comprising an Oil Major and other mid-size blenders needed to design a risk management and insurance program and then to appoint a placing broker.
What were the main (insurable) risks?
What was the right strategy to mitigate them?
How best to appoint a global broker with expertise to place these risks with underwriters at the lowest cost?
Advised client on types of insurable risk.
Prepared a report on the Scope of the insurance program and a Broker Briefing note.
Organised a ‘beauty parade’ of leading global brokers and analysed terms offered.
Negotiated terms with selected broker and monitored the placement of cover.
Theft of Diesel in tank in Eastern Europe terminal with a value of $5m
Was the loss an insured event?
Was there contributory negligence of Insured?
What was the correct quantum?
Advised insured on issues relating to denial of claim
Led negotiations with claimant’s insurers and their lawyer
Negotiated admission of liability and quantum with insurer and their lawyer
All Claims settled by insurer after initial resistance on coverage and quantum
UK Road Fuel Blender supplied contaminated fuel to 10,000 motorists via 4 supermarket resellers resulting in claimed damages of £20m from motorists and resellers’ insurers
Was the Blender and it’s Liability insurer liable?
Was there contributory negligence of Blender?
What was the correct quantum to pay claimants?
Advised Blender on issues of liability, coverage and quantum
Led Blender’s negotiations with its own insurers and legal advisers and insurers of resellers and motorists
All claims of resellers and motorists settled by Blender’s insurer after initial resistance on coverage and quantum
Housing Development with a Gross Value of £25m in distress due to insolvency of contractor following negligent harm to neighbouring properties.
Could a replacement contractor be found at a reasonable price?
Could the bank loan be restructured to allow the project to proceed?
Could the claims in negligence and under a Performance Bond be successful?
Could the Shareholder dispute driven by need for further equity be resolved?
Advised on and led negotiations with all counterparts
Renegotiated Bank loan and equity structure
Settled negligence and Performance Bond claims
Resolved Shareholder structure
Negotiated minority buyout
Restructured equity with use of mezzanine
New main Contractor in place
All claims on insurers and Surety settled
Bank loan renegotiated
Equity and mezzanine capital introduced
Minority shareholders bought out
Dispute between Chinese and Ukrainian State Companies over a $3bn grain trading agreement
Was there an English law agreement to supply grain and what terms applied?
Was it fulfilled?
Was there a loss, reclaimable as damages?
Advisor to claimant
Managed GAFTA Arbitration and supervised legal work
Provided Witness Statement to support claim
Obtained judgement favourable to client
Obtained Award under the NY Convention in favour of client after appeals