Aspen v Kairos (The Atlantik Confidence)

Aspen Underwriting Ltd v Kairos Shipping Ltd (The Atlantik Confidence) 1 is yet another episode in the litigation concerning the vessel Atlantik Confidence. In earlier proceedings,2 it was held that the vessel was deliberately sunk by the master and chief engineer, on instructions of the vessel owners (“the Owners”). This meant that the Owners were not entitled to claim on the insurance policy (“the Policy”). However, before the handing down of the judgment in The Atlantik Confidence, the vessel’s Hull Underwriters (“the Underwriters”) paid out insurance monies to the Owners, under a Settlement Agreement (“the Settlement Agreement”). The Owners then paid the monies on to the vessel’s mortgagees, Credit Europe Bank NV (“the Bank”). Following the earlier proceedings,