Stay up to date with notifications from The Independent

Notifications can be managed in browser preferences.

Lloyd's issues writs on names

William Gleeson
Friday 26 May 1995 23:02 BST
Comments

Your support helps us to tell the story

From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.

At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.

The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.

Your support makes all the difference.

Lloyd's agents have issued 12 writs against names, the private investors who back the market, who are refusing to meet their share of the pounds 9bn losses at the market over the last five years.

However, there has been an immediate climbdown by the market over a writ issued against Flight Lieutenant Harold Selway, a name who says he has already paid everything he can to the market.

More writs are expected to follow in the next few days, with the total number being sued rising to 25. Lloyd's has said that the writs are being issued as a last resort. A spokesman said: "We have explored every other avenue to settle these debts amicably."

The action against the names represents an about-turn of a policy introduced at Lloyd's in late 1992 when Peter Middleton was appointed chief executive. He then announced a moratorium on further legal actions to recover debts.

Since then the level of nonpayment by names has escalated to a point that it is now threatening the ability of the market to continue trading.

On Tuesday Lloyd's announced a rescue package designed to restructure and refinance the market.

Christopher Stockwell, chairman of the Lloyd's names associations working party, said: "It is disgraceful that at a time they are trying to negotiate a settlement they take this action to sour the climate."

On the climbdown over Flight Lieutenant Selway's writ, Mr Stockwell said: "This shows what a mess they are making of this."In the past Lloyd's has said that it has received support for pursuing those that can't pay by thousands of names who have met their share of the losses.

Join our commenting forum

Join thought-provoking conversations, follow other Independent readers and see their replies

Comments

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in