F.A.I. Insurances Ltd v Custom Credit Corp Ltd [1980] FCA 42

9) CATCHWORDS

Insurance - Fire Insurance - Insurable interest of mortgagee - whether continuity of insurable interest throughout period of ansurance is necessary - change in ownership of subject property - effect of change in ownership on insurable interest of mortgagee ~

whether resultant interest is distinct new interest.

F.A.I. INSURANCES LIMITED v CUSTOM CREDIT CORPORATION LIMITED

N.f. No. G16 of 1979.

CORAM: St.John, Fisher and Gallop JJ.

Darwin

| April 1980.

ue

IN THE 'KDERAL COURT OF AUSTRALIA

NORTHERN TERRITORY DISTRICT REGISTRY No. N.T.G. 16 of 1979

GENERAL DIVISION

ON APPEAL FROM THE SUPREME COURT

OF THE NORTHERN TERRITORY

BETWHLE (WN:

F.A.I. INSURANCES LIMITED Appellant

- and -

CUSTOM CREDIT CORPORATION LIMITED

Respondent ORDER JUDGES MAKING ORDER: St. John, Fisher and Gallop JJ. DATE: { april 1980. WHERE MADE: Darwin THE COURT ORDERS THAT: lL. The appeal be dismissed. 2. The appellant pay the respondents costs of the appeal

to be taxed.

IN THE FEDERAL COURT OF AUSTRALIA ) )

WORTHERN TERRITORY DISTRICT REGISTRY ) No. N.T.G. 16 of 1979 ) )

GENERAL DIVISION

ON APPEAL FROM THE SUPREME COURT

OF THE NORTHERN TERRITORY

BETWEEN:

F.A.I. INSURANCES LIMITED Appellant

~ and -

CUSTOM CREDIT CORPORATION LIMITED

Respondent

CORAM: St. John, Fisher and Gallop Ju.

REASONS FOR JUDGMENT FISHER J: This is an appeal against a judgment of the Supreme Court of the Northern Territory awarding Custom Credit Corporation Limited ("Custom Credit") by way of damages the sum of $28,000

against F.A.I. Insurances Limited ("the appellant").

Custom Credit together with Bristev Pty. Limited ("Brastev") commenced proceedings against the appellant claiming idemnity in relation to their respective losses as a result of cyclone damage to a dwellinghouse used as a boarding house. The facts which gave rise to the proceedings, to the extent relevant to