Motto & Ors v Trafigura Ltd & Anor [2011] EWHC 90207 (Costs) (12 April 2011)

Motto & Ors v Trafigura Ltd & Anor [2011] EWHC 90207 (Costs) (12 April 2011)

The ATE premium claimed is a recoverable premium within the meaning of s29 of the Access to Justice Act 1999. The method of calculation, based on the risk at inception and the exposure faced, is reasonable and proportionate in the unique circumstances of this litigation. There is no basis to deconstruct the premium between insurer and intermediary, nor to require a staged or alternative policy, given the market evidence and the risk profile at the time.

Citation
[2011] EWHC 90207 (Costs)
Parties
Claimants: Yao Essaie Motto & Ors; Defendant: Trafigura Ltd; Defendant: Trafigura Beheer BV
Jurisdiction
England and Wales
Judgment Date
12 April 2011
Procedural Posture
Costs Assessment / Post Trial Costs Determination
Outcome
Premium allowed as claimed, subject to detailed assessment of quantum.
Legal Topics
After the Event (ate) Insurance, Costs Recovery, Access to Justice Act 1999 S.29, Reasonableness and Proportionality of Premiums
Civil Procedure Insurance Law After the Event (ate) Insurance Costs Recovery Access to Justice Act 1999 S.29 Reasonableness and Proportionality of Premiums

Case Brief

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Parties

Yao Essaie Motto & Ors

Claimants

Trafigura Ltd

Defendant

Trafigura Beheer BV

Defendant

Procedural Posture

Costs Assessment / Post Trial Costs Determination

Legal Issues

  1. 1 Whether the ATE insurance premium claimed is reasonable and proportionate for the litigation.
  2. 2 Whether the ATE premium is recoverable as a 'premium' within the meaning of s29 Access to Justice Act 1999.
  3. 3 Whether the premium should be deconstructed to separate insurer and intermediary charges.

Ratio Decidendi

The ATE premium claimed is a recoverable premium within the meaning of s29 of the Access to Justice Act 1999. The method of calculation, based on the risk at inception and the exposure faced, is reasonable and proportionate in the unique circumstances of this litigation. There is no basis to deconstruct the premium between insurer and intermediary, nor to require a staged or alternative policy, given the market evidence and the risk profile at the time.

Court Disposition

Premium allowed as claimed, subject to detailed assessment of quantum.

Orders

  • The ATE premium is recoverable as a premium under s29 Access to Justice Act 1999.
  • No further deconstruction of the premium is required.