The Court of Appeal has delivered a judgment, dismissing insurance companies’ appeals in the ‘at the premises’ business interruption insurance test cases. Five cases were heard together. Richard Chapman KC and David Hoffman appeared on behalf of the Why Not Bar and Lounge Limited policyholder and Neil Fawcett appeared on behalf of the Mayfair Banqueting Limited policyholder.
The matters relate to business interruption insurance claims stemming from the Covid-19 closures and restrictions. The lead Claimant was London International Exhibition Centre plc. Other Claimants included nightclubs, bars, and restaurants. The appeal featured in The Lawyer’s ‘Top 10 Appeals of 2024’, with the initial trial also featuring in The Lawyer’s top 20 cases of 2023.
The Court of Appeal upheld the Commercial Court judgment of Jacobs J. The effect is that insurance policies providing cover for notifiable human diseases (including Covid-19) occurring, manifesting or being suffered at insured’s premises cover national closures and restrictions in the same way as those providing cover within a radius of the insured’s premises. The Court of Appeal also held that the requirement in some policies that closure or restrictions be placed on the premises, “on the advice or with the approval of the Medical Officer of Health of the Public Authority,” includes the actions of national government and is not restricted to local authority responses.
Judgment was handed down on Friday 6 September by Males LJ, Popplewell LJ and Andrews LJ. It can be read here: https://caselaw.nationalarchives.gov.uk/ewca/civ/2024/1026
Richard Chapman KC and David Hoffman were instructed by Neil Stockdale & Erich Kurtz of Hugh James in Why Not Bar and Lounge Limited v West Bay Insurance plc & QIC Europe Limited, and Neil Fawcett was instructed by Luiz Costa of gunnercooke in MayfairBanqueting Ltd t/a Maddox Club v AXA Insurance UK plc. We are very grateful to both firms for the instruction and their hard work in seeing this case through to a successful conclusion.
Press coverage of the case has been extensive, some of the highlights can be found below:
UK Insurers Could Face New Wave Of Biz Interruption Claims – Law360
Ruling over Covid insurance claims a win for thousands of businesses – lawyers | The Independent
ExCeL Covid-19 appeal victory opens door for more Covid BI claims | Insurance Insider
High Court ruling opens door to fresh wave of Covid insurance claims (ft.com)
Ruling over Covid insurance claims a win for thousands of businesses – lawyers | Evening Standard
London’s ExCel Centre wins insurance appeal over COVID-19 losses | Reuters
Court of Appeal upholds key Covid BI judgment – Insurance Post (postonline.co.uk)
Richard Chapman KC 
David Hoffman 
Neil Fawcett
For more information on the Business and Property department at 18 St John Street, please contact Chambers Director James Parks or Senior Clerk Katie Brown on 0161 278 8261.