HISCOX DEDICATED CORPORATE MEMBER LTD AS REPRESENTATIVE OF SYNDICATE 33 AT LLOYD'S STARR MANAGING AGENTS LTD (T/A SYNDICATE CVS 1919) V WEYERHAEUSER CO

[2019] EWHC 2671 (Comm), Queen’s Bench Division, Commercial Court, Mr Justice Robin Knowles, 11 October 2019

Insurance (liability) – Arbitration – Excess policy incorporating terms of Primary policy – Whether London arbitration clause in Primary policy was incorporated into Excess policy – Conflict wth US service of suit clause – Anti-suit injunction

Weyerhaeuser, a Seattle company, had liability insurance, in the form of a tower of primary and excess layer covers. The Lead Underlying Policy stated that: all disputes were to be resolved by arbitration in London; and that “[s]olely for the purpose of effectuating arbitration” the parties agreed to submit to the jurisdiction of the US courts. The excess policy was written on the basis that it followed “the same terms, definitions, exclusions and conditions ... as ... contained in the Lead Underlying Policy ...”. A service of suit clause was appended, but it omitted the opening words “[s]olely for the purpose of effectuating arbitration”. The assured commenced proceedings in the US, and the excess insurers sought a permanent anti-suit injunction against US proceedings.