Liability Risk and Insurance
Good faith and the ‘blind eye’
At the time a claim was made by a shipowner, his duty of utmost good faith under the Marine Insurance Act 1906 required only
that the claim was not made fraudulently. For him to be held to have had ‘blind eye’ knowledge of the unseaworthiness of his
vessel required that he suspected or believed that to be the case and had deliberately decided not to investigate.