Joining Insurers to Proceedings – Section 6 LRMPA

Australian courts have not yet had the opportunity to consider the "Bridgecorp" issue which has confronted the New Zealand courts in recent times (see our article on page 50). Given the high stakes involved, it is unlikely to go away, even after the New Zealand Court of Appeal sensibly preserved the interests of insureds.

In the meantime, we summarise the recent key decisions handed down in relation to section 6 (s 6) of the Law Reform (Miscellaneous Provisions) Act 1946 (NSW) (LRMPA). These decisions reinforce the difficulties that plaintiffs may encounter in seeking to join insurers to proceedings pursuant to s 6.

ENERGIZE FITNESS PTY LTD V VERO INSURANCE LTD [2012] NSWCA 213