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LLR: Insurance & Reinsurance

COMPAGNIE DE REASSURANCE D’ILE DE FRANCE ET AL V NEW ENGLAND REINSURANCE CORPORATION ET AL

(1993) 2 Re LR 243

United States District Court District of Massachusetts

Before District Judge Edward F Harrington

Misrepresentation - Breach of contract - United States -”Facultative” reinsurance - Reinsurance business ceded to retrocessionaires under “System and Non-System” (SANS) treaties -Representation by cedant that ceded business would be facultative reinsurance - Treaties business in fact assumed by “automatic” and/or “semi-automatic” methods whereby underwriter delegated authority to source company - Whether cedant breached treaty terms and fraudulently induced retrocessionaires to enter into SANS Treaties.

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