Handelsbanken, Norwegian Branch of Svenska Handelsbanken AB v Dandridge and Ors (The "Aliza Glacial") - Court of Appeal (Lord Phillips of Worth Matravers MR, Potter and Arden LJJ) - 30 April 2002

Marine insurance - Institute War and Strikes Clauses Hulls - Time 1983 edition - Exclusion of "trading regulations" - Commercial fishing vessel detained under Australian statute for illegal fishing - Whether vessel detained by reason of infringement of a "trading regulation"

The claimants were a Norwegian Bank who were mortgagees of the fishing vessel Aliza Glacial. The claimants had the benefit of a Mortgagees' Interest Insurance ("MII") Marine Policy, and made a claim under the policy following the seizure and detention of the Aliza Glacial by the Australian Navy and the threatened forfeiture of the vessel, her equipment and the fish on board pursuant to the Fisheries Management Act 1991 of Australia ("the FMA") on grounds of illegal fishing. In order to avoid the forfeiture of the vessel, and so as to minimise their loss, the claimants commenced foreclosure proceedings in Australia, obtaining summary judgment in their favour for the sums due and owing from the owners of the vessel, with a direction that the vessel be valued and sold. The claimants thereafter purchased the vessel for US$ 4,500,000 from the Australian Admiralty Marshal by a judicial sale in December 1998 so as to extinguish the rights of detention and forfeiture under the FMA.