The case of Conohan v. The Cooperators, a recent decision of the Federal Court of Appeal, raises some interesting issues with respect to third party claims against a policy of marine insurance.
The case arose out of a collision off Prince Edward Island between the “Cape Light II” and the “Lady Brittany”. The “Lady Brittany” was heading to fish tuna off the north coast of Prince Edward Island when it collided with the “Cape Light II”, which was at anchor and showing its anchor light. The “Cape Light II” was a constructive total loss.
The “Lady Brittany” and her owner (Gaudet) were insured under a policy of marine insurance issued by The Cooperators.