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16 February 2017 / Kelvin Farmaner
Issue: 7735 / Categories: Features , Insurance surgery , Insurance / reinsurance
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Insurance surgery: liability & multi-party accidents abroad

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The Court of Appeal has provided welcome clarity on determining which laws should apply in cross-border cases, says Kelvin Farmaner

  • Art 4(3) of Rome II in multi-tort cases.
  • When determining the applicable law, it is relevant to look at all of the claims against the other parties not just the specific claim advanced against the defendant in question.

The growth of international travel for both work and pleasure has meant the number of injury claims relating to accidents abroad has increased. However, the fact that an accident occurred abroad may create a number of difficulties. One such difficulty is the question of which law will apply to the resulting claims. For all accidents occurring after 11 January 2009, this is governed by Regulation (EC) 864/2007 (known as Rome II); Art 4 of which deals with choice of law and sets out a general principle, an exception and an escape clause.

The general principle: Art 4(1)

The general principle is that the applicable law will be the law of the country in which the damage occurs. This

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