Zurich Insurance Plc v Nightscene Ltd [2019] EWHC 352 (QB) (25 February 2019)

Nightscene's liability under the Guarantee did not arise until the final balance of costs for repairs was ascertained; limitation period began only then, so Zurich's claim was not statute-barred.

Citation: [2019] EWHC 352 (QB)
Parties: Claimant/respondent: Zurich Insurance Plc; Defendant/appellant: Nightscene Limited
Jurisdiction: England and Wales
Judgment Date: 25 February 2019
Procedural Posture: Civil Appeal / Appeal From Bristol County Court Judgment
Outcome: Appeal dismissed
Legal Topics: Guarantees, Limitation Periods, Indemnity, Statute Barred Claims

Contract Law Insurance Law Guarantees Limitation Periods Indemnity Statute Barred Claims

Case Brief

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Parties

Zurich Insurance Plc

Claimant/respondent

Nightscene Limited

Defendant/appellant

Procedural Posture

Civil Appeal / Appeal From Bristol County Court Judgment

Legal Issues

1 Whether Zurich's claim under the Guarantee against Nightscene was statute-barred under the Limitation Act 1980
2 When the cause of action accrued for reimbursement under clause 4.16 of the Agreement and under the Guarantee
3 Whether time started to run from the first payment or from ascertainment of the final balance

Ratio Decidendi

Nightscene's liability under the Guarantee did not arise until the final balance of costs for repairs was ascertained; limitation period began only then, so Zurich's claim was not statute-barred.

Court Disposition

Appeal dismissed

Orders

Zurich's claim against Nightscene is not statute-barred
Judgment in favour of Zurich Insurance Plc upheld