United Kingdom pay first clauses1930 2010 actsonerous clauses

MS Amlin Marine NV v King Trader

MS Amlin Marine NV v King Trader Ltd & Ors [2025] EWCA Civ 1387

JurisdictionUnited Kingdom

CourtCourt of Appeal (Civil Division)

Year2025

StatusBinding authority

Key Principle

A 'pay first' (pay-to-be-paid) clause in a marine liability insurance policy, requiring the assured to discharge its liability before claiming indemnity, is enforceable and survives the statutory transfer of the assured's rights to a third party under the Third Parties (Rights against Insurers) Act 2010.

Area of Law

General

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