A UK-based insurance broker’s attempt to halt a Kes 280 million dispute filed by Jubilee Allianz General Insurance (K) has been rejected by High Court judge Alfred Mabeya. The insurance broker, CK Re Limited International Reinsurance Brokers, argued that Kenyan courts lacked the jurisdiction to handle the matter as they were a limited company incorporated in London and had no presence in Kenya.
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The broker further contended that the reinsurance contracts were solely between Jubilee and the reinsurers themselves, asserting that their role was that of an intermediary insurance broker. However, Justice Mabeya dismissed the objection and asserted that the High Court did indeed have the authority to hear and decide on the case. He emphasized that the plaintiff had presented a contract before the court, which clearly indicated that Kenyan courts had jurisdiction to resolve any arising disputes.
The court clarified that the broker’s denial of liability under the contracts did not diminish the court’s jurisdiction in determining the case. The court was informed that the UK company acted as a broker, placing risks underwritten by Jubilee with various reinsurance companies. Jubilee would pay the agreed reinsurance premiums to the broker, who would then forward the payments to the reinsurers, and all claims and payments related to the reinsurance slips would be managed through the broker.
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The insurance broker argued that the reinsurance contracts, upon which Jubilee relied, were not binding on them, as they were agreements solely between Jubilee and the reinsurers. In an affidavit filed in court, the firm’s representative, Martin Andrew Wright, maintained that London was the place of performance of the contract, where all services, documentation, payments, and claims settlements took place.
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