21 Feb 2006
HARBOURFIELD ENGINEERING CO LTD v. FALCON INSURANCE COMPANY (HONG KONG) LTD
- Citation
- HARBOURFIELD ENGINEERING CO LTD v. FALCON INSURANCE COMPANY (HONG KONG) LTD
- Court
- Court of Appeal
- Case number
- CACV229/2005
The Court held the defendant wrongfully repudiated the policy and that the policy's indemnity for costs and expenses extends to reasonable costs of defending third‑party claims brought in connection with the insured's business; those costs are recoverable by the insured as damages flowing from wrongful repudiation and are not conditional on the insured being ultimately held liable, and alleged breaches of statutory requirements (condition 5) were irrelevant to the risk giving rise to the PI claim and did not exclude cover.