Service of suit

Service of suit clauses come in a variety of forms, but in essence they provide that one party – typically the assured – has the right (although not the obligation) to bring an action in a given place and that the insurers will submit to the jurisdiction of the courts of that place if the assured’s option is exercised. In Catlin Syndicate Ltd v Adams Land & Cattle Co [2006] EWHC 2065 (Comm) Cooke J held that once the assured had determined to sue in accordance with this type of clause, the clause operated as an exclusive jurisdiction agreement and the English court should refuse to hear the action even though it possessed jurisdiction and the policy was governed by English law.