UK High Court Rules on Sanctions Clauses in Insurance Contracts and Considers Application of the EU Blocking Regulation
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- A recent decision of the English High Court has provided much-needed guidance on the interpretation of sanctions clauses in the insurance context.
- The Court also addressed the question of the EU Blocking Regulation and how this might operate in practice once U.S. secondary sanctions against Iran come fully into force at 11.59 pm EST on 4 November 2018.
- Finally, the Court provided some clarity (albeit implicitly) on the meaning of the EU sanctions prohibition on “financial assistance” in the insurance context.