Fortuity, misconduct and defects

CA Blackwell (Contracts) Ltd v Gerling General Insurance Co January 2007, unreported, forthcoming in [2007] Lloyd’s Rep IR, a decision of HHJ Mackie QC, raises a number of important questions on the scope of contractors all risks policies, including the need for fortuitous loss and the effect of the assured failing by negligence to take adequate precautions to avoid loss. In particular, the meaning of a standard exclusion relating to exclusion of property subject to a design defect fell to be considered.