Introduction
In the recent decision of Australian Gourmet Pastes Pty Ltd
v Endeavour Packaging Pty Ltd & Anor [2016] VCC 455, the
County Court of Victoria stayed a proceeding to give effect to an
exclusive choice of court and choice of law clause in an insurance
policy issued by a New Zealand insurer covering an Australian
company.
Background
Australian Gourmet Pastes Pty Ltd (AGP)
commenced proceedings against Endeavour Packaging Pty Ltd
(Endeavour). Endeavour was insured by IAG New
Zealand Ltd (IAG NZ) and, relevantly, was also in
administration and subject to a deed of company arrangement
(deed).
AGP joined IAG NZ to the proceeding, asserting that the deed
permitted AGP to claim directly on Endeavour's policy of
insurance with IAG NZ (policy) despite neither
being an insured under the policy nor meeting any of the other
recognised criteria for direct claims by third parties under
policies of insurance.
