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Wealth by Stealth? Bikies and Brothels May Mix!

On 5 April 2017, in Stealth Enterprises Pty Ltd t/as The Gentlemen’s Club v Calliden Insurance Limited [2017] NSWCA 71, the New South Wales Court of Appeal handed down an important decision on the topic of the insured’s duty of disclosure and the insurer’s remedies.
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Misrepresentation Regarding Ownership of Insured Property

Gonzales & Barrett v The Hollard Insurance Company Pty Ltd [2016] NSWLC 9
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Brothels, Bikies and Non-Disclosure

In the recent case of Stealth Enterprises Pty Ltd t/as The Gentleman’s Club v Calliden Insurance Limited [2015] NSWSC 1270, the New South Wales Supreme Court found that the insured company (Stealth), which operated a brothel in the ACT known as “The Gentleman’s Club”, had breached its statutory duty of disclosure by failing to disclose to its insurer (Calliden).
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Child ran over and seriously injured by family’s ride-on mower

The Court of Appeal of Western Australia has weathered a storm of creative arguments to hold that “normally living” at a residence, within the meaning of an exclusion clause (in home insurance liability cover), is not an ‘act’ within the meaning, or attracting the operation, of section 54(1) of the Insurance Contracts Act 1984 (Cth)(ICA).

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