The High Court recently held that the "Brillante
Virtuoso" (the "Vessel") was a constructive total
loss ("CTL") following an attack by pirates in July
20111. Mr Justice Flaux made important key findings in
the CTL claim, which totalled over US$80m. This case has been
closely followed and widely discussed by the London insurance
market.
The claim is pursued by the Owners (Suez Fortune Investments
Ltd) and their Bank (Piraeus Bank AE). The Defendants in the case
are a panel of ten Lloyd's of London insurers led by Talbot
Underwriting.
The Vessel had hull insurance for US$55m, with US$22m of
increased value cover on top. She was sailing from the Ukraine to
China with a cargo of fuel oil when the Vessel was boarded by
pirates off Aden who approached the Vessel under the guise of being
the port authorities. The armed gang overpowered the crew, ordered
the master to sail to Somalia and after the engine stopped and
could not be restarted set off an explosion that
