BAKER v BLACK SEA & BALTIC GENERAL INSURANCE CO LTD

(1996) 5 Re LR 202

Court of Appeal

Before Lord Justice Staughton, Lord Justice Millett and Lord Justice Otton

Wording - Construction - Proportional facultative obligatory reinsurance - Cover note providing “wording to be agreed”, “subject to all terms, clauses and conditions as the original and to follow the settlements and agreements of [reinsured] in all respects” - General portfolio of US and Canadian fire and casualty business - Whether reinsured made valid cession on sample contracts of insurance - Whether sample contracts outside scope of reinsurance - Meaning of “US and Canadian fire and casualty business” - Reinsurers liability in respect of amounts paid by reinsured to its assured or reassured in respect of costs/legal expenses.