Lloyd's Insurance Law Reporter
AUCKLAND TROTTING CLUB INC V LANE NEAVE AND OTHERS
[2022] NZHC 2208, High Court of New Zealand, Associate Judge Gardiner, 31 August 2022
Insurance (professional indemnity) – Exclusion for claims arising from insolvency – Failure by assured to secure guarantee and indemnity for client – Causation – Whether claim against assured arose from insolvency
ATC entered into a construction contract with Canam, N-Compass was project manager. It was the contractual duty of N-Compass
to secure a guarantee and indemnity from Canam’s parent company as to Canam’s performance, but it failed to do so. Disputes
arose and N-Compass left the project and ATC cancelled the contract.