Question
The buyer, March Imports, has taken insurance cover from Lloyds Australia for a consignment of strawberries being shipped from California. The ship, FSSTeddy , is
The buyer, March Imports, has taken insurance cover from Lloyds Australia for a consignment of strawberries being shipped from California. The ship, FSSTeddy, is detained by Californian authorities until it pays a bond for unlawfully discharging waste in the San Francisco harbour. Though they are kept in cool storage, the strawberries have perished by the time the ship reaches Sydney. The insurer denies liability.
(a) What is the governing law of this insurance contract?
(b) Has the assured breached an express or implied warranty?
(c) Will March Imports be able to successfully claim for the loss of the cargo (the policy specifically covers loss caused by delay)?
(d) Will the owners of FSS Teddy, covered by an insurance policy issued in Australia, be able to claim for any expenses they might have incurred through this incident?
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