GUIDANCE ON US AND EU SANCTIONS AND THE OBLIGATIONS OF INSURERS IN RESPECT OF SANCTIONED PAYMENTS

In October 2018, the UK Defence Club, a mutual maritime insurance legal costs body, published a briefing about the guidance provided by the High Court on the correct interpretation of a standard sanctions clause contained in a marine cargo insurance policy (following a loss of cargo shipped to Iran in 2012).  The insurers had sought to resist payment of the claim under the terms of the sanctions clause within the policy on the basis that payment would potentially expose them to sanctions.  However, after reviewing the US sanctions regime, the judge concluded that the assured was entitled to payment of its claim.  It says that the insurers had to establish on the balance of probabilities that payment would be prohibited and the insurers would be subject to sanction.

https://www.ukdefence.com/fileadmin/uploads/uk-defence/Photos/Publications/Soundings/2018/1152_UKDC_Soundings_Mamancochet_Mining_v3.pdf

This blog is primarily for my own use, to keep informed and up to date. However, if you would like to say thank you (and perhaps help me get a new, better laptop when I am away…) you can “buy me a coffee” at https://www.buymeacoffee.com/KoIvM842y

Author: raytodd2017

Chartered Legal Executive and former senior manager with Isle of Man Customs and Excise, where I was (amongst other things) Sanctions Officer (for UN/EU sanctions), Export Licensing Officer and Manager of the Legal-Library & Collectorate Support Section

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s