Orica Australia Pty Ltd v CGU Insurance Ltd [2002] NSWDDT 8

Orica Australia Pty Ltd v CGU Insurance Ltd [2002] NSWDDT 8

The event triggering CGU's obligation to indemnify was the creation of Orica's liability to pay damages during the period of cover, not the occurrence of asbestos-related injury during employment. Because Dunstan's compensable damage and Orica's liability arose in August 2001, after the CGU policy period, and s 18(6B) did not retrospectively assist Orica, CGU was not liable to indemnify Orica for the judgment.

Jurisdiction
Australia
Judgment Date
07 June 2002
Procedural Posture
Cross Claim for Insurance Indemnity / Judgment on Cross Claim
Outcome
Verdict for CGU Insurance Ltd on the cross claim by Orica Australia Pty Ltd.
Legal Topics
['statutory Workers Compensation Policy' 'indemnity for Common Law Liability' 'asbestos Exposure' 'mesothelioma' 'time When Liability Arises' 'policy Limits']
['insurance' 'workers Compensation' 'dust Diseases' 'negligence'] ['statutory Workers Compensation Policy' 'indemnity for Common Law Liability' 'asbestos Exposure' 'mesothelioma' 'time When Liability Arises' 'policy Limits']

Case Brief

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Procedural Posture

Cross Claim for Insurance Indemnity / Judgment on Cross Claim

Legal Issues

  1. 1 ["Whether the statutory policy issued by CGU responded to Orica's liability for damages recovered by John Beaumont Dunstan." "Whether Orica's liability arose during the period of insurance when Dunstan inhaled asbestos fibre or only when compensable damage occurred in August 2001." 'Whether the indemnity was otherwise limited to $60,000.']

Ratio Decidendi

The event triggering CGU's obligation to indemnify was the creation of Orica's liability to pay damages during the period of cover, not the occurrence of asbestos-related injury during employment. Because Dunstan's compensable damage and Orica's liability arose in August 2001, after the CGU policy period, and s 18(6B) did not retrospectively assist Orica, CGU was not liable to indemnify Orica for the judgment.

Court Disposition

Verdict for CGU Insurance Ltd on the cross claim by Orica Australia Pty Ltd.

Orders

  • ['Verdict for CGU Insurance Ltd on the cross claim by Orica Australia Pty Ltd.']