The Renos – a Trojan Horse in the LOF citadel?

In Connect Shipping Inc and Another v Sveriges Angfartygs Assurans Forening (The Swedish Club) and Others (The Renos) [2018] EWCA Civ 230; [2018] 1 Lloyd’s Rep 285, the Court of Appeal ruled that SCOPIC expenditure could be included in ascertaining whether a casualty was a constructive total loss.

The author considers that conclusion against the historical background to and purpose of the SCOPIC clause, suggesting that it cannot have been intended by the authors of either SCOPIC or the Marine Insurance Act 1906, and that it may weaken the support of the London market for the Lloyd’s Open Form Salvage Contract.