Grupo Protexa S.A. and anr v. All American Marine Slip and others - U.S. Ct. of Appeals (3rd Circuit) (Becker and Alito C.JJ. and Huyett D.J.) - 3 February 1992

Marine insurance - Whether removal of sunken vessel “compulsory by law” - Whether plaintiffs acted as prudent assureds

The plaintiff assureds sought to recover the cost of removing a sunken vessel. The marine insurance policy covered removal costs if the removal was “compulsory by law”. The defendant insurers denied the claim. The district court held that the removal was not “compulsory by law” and that the plaintiffs had not acted as prudent assureds when proceeding with the removal of the wreck. On appeal to the U.S. Court of Appeals: