Goshawk Dedicated Ltd v Tyser & Co: the Court of Appeal clarifies underwriters’ right of access to brokers’ records

On 7 February 2006 the Court of Appeal allowed underwriters’ appeal for access to brokers’ documents, restoring the position which many consider had represented the custom and practice in the Lloyd’s market for centuries. Claire Roake^* of Mills & Reeve looks first at the decision in Goshawk v Tyser, before considering the practical implications of the case from the perspective of both brokers and underwriters

In summary, Goshawk was put into run off in 2003. Run off managers requested inspection from brokers of documents relating to placing, claims and premium accounting. The first two categories had previously been seen by underwriters but had not been retained. Brokers provided some documents, but withheld others where they did not have the insureds’ consent for disclosure. Brokers feared that if they provided documents to underwriters without consent, they would face allegations of professional negligence from the insureds.