LOCKER & WOOLF, LTD. v. WESTERN AUSTRALIAN INSURANCE COMPANY, LTD.

(1936) 54 Ll.L.Rep. 211

COURT OF APPEAL.

Before Lord Justice Slesser, Lord Justice Scott and Mr. Justice Eve.

Fire insurance-Non-disclosure-Proposal form-Insurance of premises of L & W, Ltd. (plaintiffs), with defendants and other insurers - Fire - Claim - "(2) Have you ever suffered loss by fire? Yes, £5, Sea. (4) Has this or any other insurance of yours been declined by any other company? No"-Evidence that W, engaged in business on his own account, had a fire in 1919; that L & W, when trading in partnership in 1930, had applied to the N Co. for a policy covering their motor vehicles, and that the N Co. had declined such proposal on the ground of non-disclosure- Materiality-Moral hazard-Sale of salvage upon instructions of assessors engaged by insurers-Sale unopposed by defendants-Whether amounting to waiver-"The company [defendants] . . . may, without thereby incurring any liability, and without diminishing the right of the company to rely upon any conditions of this policy, enter, take or keep possession of the building or premises where the destruction or damage has happened, and may take possession of or require to be delivered to them any of the property hereby insured and may keep possession of and deal with such property for all reasonable purposes and in any reasonable manner"-Repudiation of liability by defendants on ground of non-disclosure -Arbitration-Award in favour of defendants-Case stated.