Borealis AG v Geogas AS
Citation: 1 Lloyd’s Rep 482;  All ER (D) 110 and  EWHC 2789 (Comm)
Nature of case:
The claimant sought damages from the defendant for the physical damage caused to its plant and for consequential losses. The issues for the court’s consideration essentially involved causation, remoteness, mitigation and quantum.The defendant submitted that by failing to operate the system to inject ammonia into the cavern, the claimant had broken the chain of causation or failed to mitigate its loss. The court held that there had been no break in the chain of causation, nor a failure to mitigate the loss on the part of the claimant that would prevent the defendant from being liable for the amount claimed.