AIA Australia Limited v Richards (No 4)

[2017] FCA 1100

FEDERAL COURT OF AUSTRALIA

AIA Australia Limited v Richards (No 4) [2017] FCA 1100

File number:	NSD 1853 of 2016
Judge:	ALLSOP CJ
Date of judgment:	20 September 2017
Catchwords:	INSURANCE – fraudulent claims made by respondent under life insurance contract – summary judgment entered in favour of applicant – quantification of judgment sum – making of declarations
Legislation:	Insurance Contracts Act 1984 (Cth), s 56
Cases cited:	AIA Australia Ltd v Richards (No 3) [2017] FCA 1069
Date of hearing:	Determined on the papers
Date of last submissions:	13 September 2017
Registry:	New South Wales
Division:	General Division
National Practice Area:	Commercial and Corporations
Sub-area:	Commercial Contracts, Banking, Finance and Insurance Insurance List
Category:	Catchwords
Number of paragraphs:	4
Counsel for the Applicant:	Ms R Francois
Solicitor for the Applicant:	William Roberts Lawyers
Counsel for the Respondent:	The Respondent did not appear

ORDERS

NSD 1853 of 2016

BETWEEN:

AIA AUSTRALIA LIMITED (ABN 79 004 837 861)

Applicant

AND:

VINCENT BRIAN RICHARDS

Respondent

JUDGE:	ALLSOP CJ
DATE OF ORDER:	20 SEPTEMBER 2017

THE COURT ORDERS THAT:

1.Judgment be entered in favour of the applicant including pre-judgment interest up to 20 September 2017 in the sum of $69,722.71.

THE COURT DECLARES THAT:

2.On 19 October 2016, the applicant validly refused to pay claims made by the respondent pursuant to s 56(1) of the Insurance Contracts Act 1984 (Cth).

3.The contract of insurance between the applicant and the respondent was validly cancelled by the applicant on 19 October 2016.

Note:   Entry of orders is dealt with in Rule 39.32 of the Federal Court Rules 2011.

REASONS FOR JUDGMENT

ALLSOP CJ:

1. On 11 September 2017, I made orders in relation to this matter and published reasons: see AIA Australia Ltd v Richards (No 3) [2017] FCA 1069. I directed that the applicant file a schedule of sums paid after February 2016, together with pre-judgment interest thereof. I attach the schedule which was filed on 13 September 2017. I have checked that schedule and there is an inaccuracy. The judgment sum should be $90.85 less than the sum indicated of $69,813.56. Therefore, the orders that I make will include an order for judgment in the sum of $69,722.71.

2. In accordance with my reasons in Richards (No 3), the applicant is also entitled to the declarations sought in prayers 1(a) and (b) of the interlocutory application filed 21 July 2017.

3. I have already made an order for costs. 

4. Therefore, the orders I would make, in addition to the orders made on 11 September 2017 are as follows:

   1.Judgment be entered in favour of the applicant including pre-judgment interest up to 20 September 2017 in the sum of $69,722.71.

   2.Declare that:

   (a)on 19 October 2016, the applicant validly refused to pay claims made by the respondent pursuant to s 56(1) of the Insurance Contracts Act 1984 (Cth); and

   (b)the contract of insurance between the applicant and the respondent was validly cancelled by the applicant on 19 October 2016.

I certify that the preceding four (4) numbered paragraphs are a true copy of the Reasons for Judgment herein of the Honourable Chief Justice Allsop.

Associate:

Dated:       20 September 2017

ANNEXURE A – SCHEDULE OF CLAIMED PAYMENTS AND INVESTIGATION COSTS

ANNEXURE B – CORRECTED SCHEDULE OF CLAIMED PAYMENTS AND INVESTIGATION COSTS