ELAFONISSOS FISHING AND SHIPPING CO V AIGAION INSURANCE CO SA (THE AGIOS SPYRIDON)

[2012] EWHC 1512 (Comm), Queen's Bench Division, Commercial Court, Mr Justice Blair, 31 May 2012

Insurance (marine) - Proof of loss - Lay up warranty - Breach of warranty - Interpretation of warranty

The assured's fishing vessel Agios Spyridon was insured by the insurers under a time policy for a year from 11 August 2007, on the terms of the Institute Fishing Vessel Clauses 1987. The policy contained a warranty as follows: "Warranted laid up from 1/11/06 until 28/2/07 ... in port of Mahajanga ..." On Christmas Day 2006 a cyclone struck the port of Mahajanga. This caused the vessel to break free and to collide with the port, damaging the vessel. The insurers put the assured to proof of loss, both in respect of damage to the vessel and also in respect to a claim made against the assured by the owners of the vessel Saint Raphael for salvage in that it towed the Agios Spyridon. They also argued that the assured was in breach of warranty.