Hackney Empire Ltd v Aviva Insurance UK Ltd
Citation: BLR 728 TCC
Nature of case:
Already reported in Con LR, the case concerns the effect and extent of a bond issued by Aviva to guarantee obligations of the contractor on the Hackney Empire theatre refurbishment. Obligations assumed by the contractor under a side agreement were held not to be within the scope of the guarantee by Aviva and so it had no liability in respect of the sums arising from those. The court had to consider the extent to which the surety was prejudiced by payments on account made to the contractor, for claims which were never fully substantiated.