What duties does a lead underwriter owe to following underwriters when settling a claim? - .PDF file.
The issue of what duties a lead underwriter owes to the following market when settling a claim was considered by the commercial court in the context of a ‘follow clause’ in San Evans Maritime Inc & Ors v Aigaion Insurance Co SA  EWHC 163 (Comm).
At least in the context of this particular follow clause, the court held that the lead underwriter was not the agent of the following market when settling the claim; and the lead underwriter could owe duties to the following market and therefore may wish to make clear when settling a claim that he does so on his own behalf and is not purporting or intending to bind the following underwriters…
Click on the link below to read the rest of the Eversheds briefing.