AMERICAN AIRLINES INC. v. HOPE; BANQUE SABBAG S.A.L. v. HOPE

[1974] 2 Lloyd's Rep. 301

HOUSE OF LORDS

Before Lord Wilberforce, Viscount Dilhorne, Lord Diplock, Lord Simon of Glaisdale and Lord Kilbrandon

Insurance (Aviation) - War risks - Aircraft destroyed on ground at Beirut airport by Israeli forces - War risks covered "at additional premium to be agreed leading underwriter" - No attempt to reach agreement - Whether clause as to liability arising out of "unprovoked incidents arising during normal course of assured's operations" incorporated into "slip" - Meaning of "as expiring" - Whether clause as to liability for incidents occurring "over Arab/Israel territory" applicable - Liability of insurers. Evidence - Admissibility of evidence as to intention and understanding of parties to insurance contract.