Where a trial judge rejects a witness's evidence on credibility grounds, the appellate court may nonetheless draw inferences of fact from undisputed or unchallenged objective evidence, and is in as good a position as the trial judge to do so. The disbelief of a witness does not amount to positive evidence of the contrary of what is disbelieved. Under a professional indemnity insurance policy containing a proposal completion waiver clause and a dishonesty special extension, innocent partners are entitled to indemnity for claims arising from a co-partner's dishonest acts, and the insurer cannot avoid the policy or reduce its liability under s 28(3) of the Insurance Contracts Act 1984 in respect of those innocent partners.
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