Forum non conveniens and applicable law

In Stonebridge Underwriting Ltd v Ontario Municipal Insurance Exchange [2010] EWHC 2279 (Comm) Christopher Clarke J discussed a jurisdictional conflict arising out of a reinsurance contract, between the English courts and the courts of Ontario. The court has upheld the now accepted approach that issues of law arising under a contract governed by English law (under English conflict of laws rules) should be determined in England.

Stonebridge: the facts

The defendant reinsured, OMEX, was the insurer of a number of Canadian municipalities under two pool arrangements: the OMEX Program, providing liability and automobile insurance cover up to a limit of US$50m and administered by OMEX employees; and the Special Underwriting Group (SUG OMEX) Program, which was a policy with a limit of US$5m and administered by brokers JLT. Both Programs were reinsured in London with the claimant reinsurers, with JLT acting as brokers.