BP PLC v. GE Frankona Reinsurance
[2003] EWHC 344 (Comm) QBD, Commercial Court
February 2003

A number of disputes arose under an Open Cover. One concerned an endorsement that underwriters follow automatically all additions and/or deletions and/or amendments and/or alterations of any description
whatsoever therein, Underwriters hereon waiving advice hereunder and also to follow all claim settlements made by Leading Underwriters'. It was held that notification to leading underwriters of declarations was not enough to bind the whole market. Although there was no need for specific acceptance of the declarations, each underwriter was not bound until it received notice of the declarations within the terms of the cover. Hence when following underwriters were not notified until after expiry of the Open Cover, they were not bound.