SOCIETY OF LLOYD’S V JAFFRAY

[2007] EWCA Civ 1101, Court of Appeal, Lord Justice Buxton and Lord Justice Moore-Bick, 20 June 2007

Insurance – Lloyd’s – Earlier trial rejecting allegations of deceit by Lloyd’s – Court of Appeal rejecting appeal – Application to Court of Appeal to reopen appeal on basis that evidence at original trial was perjured – Jurisdiction of Court of Appeal – Whether allegations of fraud made out

In earlier proceedings, Society of Lloyd’s v Jaffray [2002] EWCA Civ 1101 the Court of Appeal dismissed an appeal from the judgment of Cresswell J rejecting a claim by Names at Lloyd’s for damages representing underwriting losses. The learned judge found that Lloyd’s had not made any representations to persons who subsequently became Names at Lloyd’s as to the manner in which Lloyd’s carried on business, and that even if such representations had been made there was no deceit involved. The Court of Appeal held that representations had been made, but agreed on the absence of deceit. In the present case the Names sought to adduce further evidence to show that Cresswell J had been misled by Lloyd’s’ own evidence at the trial, and that the appeal should be reopened. The Court of Appeal was uncertain whether it had jurisdiction to reopen an appeal where fraud by one of the parties was alleged, and felt that the correct approach was a fresh action to set aside the original judgment. However, proceeding on the basis that jurisdiction did exist, the Court of Appeal held that the remedy that would be ordered was a retrial of the original action rather than a reopening of the appeal itself. Turning to the evidence, the Court of Appeal regarded the allegations as hopeless.