The WLR Daily case summaries
[2023] WLR(D) 372
Court of Appeal
Rex (Manchikalapati and others) v Financial Services Compensation Scheme
[2023] EWCA Civ 1006
2023 July 25;
Sept 5
Sept 5
Popplewell, Andrews, Falk LJJ
Insurance— Liability insurance— Compensation scheme liability— Policyholders seeking compensation from scheme after liable insurer going into administration— Scheme agreeing to pay insurer’s VAT liability but declining to pay liability for judgment debt interest or litigation costs— Deputy judge allowing policyholder’s claim for judicial review and quashing scheme’s decision on basis that claim “in respect of” protected claim even if not itself a protected claim— Correct method of interpreting scheme rules— Whether costs and interest falling within definition of “protected claim”— Whether claim for interest and costs “in respect of” claim—
Policyholder Protection Rules, rr 1.2, 3.1(2), 9.1