Catlin Syndicate Ltd & Ors v Weyerhaeuser Company

Catlin Syndicate Ltd & Ors v Weyerhaeuser Company

The Layer 4 Policy incorporates the Lead Underlying Policy's arbitration clause, requiring disputes arising out of or relating to the policy to be determined in London under the Arbitration Act 1996. The Service of Suit Clause does not override the arbitration agreement but operates solely for the purpose of effectuating arbitration. There is no conflict in the drafting, and the commercial context supports Catlin's construction.

Parties
Claimant: Catlin Syndicate Limited (underwriting as XL Catlin Syndicate 2003); Claimant: XL Insurance Company SE; Defendant: Weyerhaeuser Company
Jurisdiction
England and Wales
Judgment Date
21 December 2018
Procedural Posture
Commercial / Final Judgment
Outcome
Claim granted
Legal Topics
Construction of Insurance Policy, Arbitration Clause, Service of Suit Clause, Choice of Law, Jurisdiction
Insurance Arbitration Contract Construction of Insurance Policy Arbitration Clause Service of Suit Clause Choice of Law Jurisdiction

Case Brief

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Parties

Catlin Syndicate Limited (underwriting as XL Catlin Syndicate 2003)

Claimant

XL Insurance Company SE

Claimant

Weyerhaeuser Company

Defendant

Procedural Posture

Commercial / Final Judgment

Legal Issues

  1. 1 Whether the Layer 4 Policy requires disputes to be resolved by arbitration in London under the Arbitration Act 1996
  2. 2 Whether the Service of Suit Clause allows litigation in the United States for claims of failure to pay
  3. 3 Whether there is a conflict between the arbitration clause and the Service of Suit Clause

Ratio Decidendi

The Layer 4 Policy incorporates the Lead Underlying Policy's arbitration clause, requiring disputes arising out of or relating to the policy to be determined in London under the Arbitration Act 1996. The Service of Suit Clause does not override the arbitration agreement but operates solely for the purpose of effectuating arbitration. There is no conflict in the drafting, and the commercial context supports Catlin's construction.

Court Disposition

Claim granted

Orders

  • Final order restraining Weyerhaeuser from pursuing proceedings before the District Court in the State of Washington