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Lloyd's ruling

Saturday 31 July 1993 23:02 BST
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THE Appeal Court has unanimously upheld the decision of Mr Justice Saville on 13 May over the 'pay now, sue later' clauses in proceedings brought by Feltrim and Gooda Walker Names against their agents in the Lloyd's of London insurance market.

Lloyd's said yesterday it welcomed the thrust of the decision, which it said 'on the one hand leaves the Names free to assert any claims they have against their agents in respect of their conduct of the underwriting business, but on the other makes it clear that the 'pay now, sue later' clauses remain in place to ensure that funds can be collected promptly to meet underwriting liabilities'.

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