Court’s powers as to insurance contracts associated with hire‑purchase agreements
21 Court’s powers as to insurance contracts associated with hire‑purchase agreements
In any proceedings taken in any court in respect of a difference or dispute arising out of a contract of insurance if it appears to the court that a failure by the insured or the hirer to observe or perform a term or condition of the contract of insurance may reasonably be excused on the ground that the insurer was not prejudiced by the failure, the court may, unless an order excusing the failure has already been made under subsection (2), order that the failure be excused.
Where a difference or dispute has arisen out of a contract of insurance, the insured or the hirer or any guarantor in respect of the hire‑purchase agreement may, unless an order excusing the failure concerned has already been made under subsection (1), apply to the court for an order that the failure to observe a term or condition of the contract of insurance be excused; and if it appears to the court that the failure may reasonably be excused on the ground that the insurer was not prejudiced by the failure, the court may order that the failure be excused.
Where an order is made under subsection (1) or (2), the rights and liabilities of all persons in respect of the contract of insurance concerned is determined as if the failure the subject of the order had not occurred.
The statute text is free to read above. View subscription options to unlock the case-law research tools for each provision.