MS Amlin Marine NV v King Trader Ltd and Others [2025] EWCA Civ 1387 - Court of Appeal (Sir Geoffrey Vos MR, Lord Justice Singh and Lord Justice Males) - 5 November 2025

Marine insurance - Pay to be paid clause - Assured insolvent - Whether third party claimants bound by clause - Inconsistency - Onerous clause doctrine - Third Parties (Rights Against Insurers) Act 2010

KT time-chartered the vessel Solomon Trader to BMC by a time charterparty dated 29 May 2017. On 4 to 5 February 2019 Solomon Trader grounded in the Solomon Islands. On 25 March 2021 BMC went into insolvent liquidation in its corporate seat, the British Virgin Islands. On 14 March 2023 an LMAA arbitration tribunal sitting in Hong Kong found that BMC was liable in damages to KT and a third party, KPI, in respect of the grounding. Following a costs award on 20 January 2024 the total amount awarded exceeded US$47 million.