Bank of Queensland Limited v AIG Australia Limited [2019] NSWCA 190

Court of Appeal Supreme Court New South Wales Medium Neutral Citation: Bank of Queensland Limited v AIG Australia Limited [2019] NSWCA 190 Hearing dates: 14 and 15 May 2019 Date of orders: 06 August 2019 Decision date: 06 August 2019 Before: Bathurst CJ at [1]; Macfarlan JA at [30]; White JA at [113] Decision: (1) Allow the appeal.

(2) Set aside Orders (1) and (2) made at first instance on 28 November 2018.

(3) In lieu thereof, the Court makes the following declarations:

(a) On the proper construction of the Policy, the settlement by the Appellant of the Representative Proceeding was the settlement of a single "Claim" within the meaning of cl 2.2 of the Policy;

(b) The incurring by the Appellant of a liability to pay, or payment by the Appellant of, the BOQ Settlement Sum was a "Loss" resulting from a single "Claim" within the meaning of the Policy;

(c) The Appellant's incurring of the Defence Costs was a "Loss" resulting from the same single Claim within the meaning of the Policy; and

(d) For the purposes of cl 6.4 of the Policy only one "Retention" (as defined in the Policy) is to be borne by the Appellant in respect of the BOQ Settlement Sum and BOQ's Defence Costs.

(4) Direct the parties to attempt to agree upon the amounts of the judgments, including interest pursuant to s 100 of the Civil Procedure Act 2005 (NSW), to be entered against the first and second respondents to give effect to the Court's reasons for judgment and, failing agreement, to lodge by 16 August 2019 written submissions as to the amounts for which they contend that judgment should be entered, with any replies to be lodged by 23 August 2019.