Liberty Mutual Insurance Company t/as Liberty International Underwriters v Valerio Enrico Zanotto

Liberty Mutual Insurance Company t/as Liberty International Underwriters, the plaintiff, sued Valerio Enrico Zanotto, the defendant, in the Supreme Court of Queensland over an insurance policy. The plaintiff sought a declaration that the defendant's actions constituted a wrongful act under the policy terms, which would trigger the insurance coverage. The defendant, a public official, was investigated by the Independent Commission Against Corruption (ICAC) for corrupt conduct, leading to findings that could constitute a criminal offence. The plaintiff argued these findings meant the defendant's actions were a wrongful act under the insurance policy.

The central legal issue was whether the findings of corrupt conduct by ICAC constituted a "wrongful act" under the insurance policy, thus triggering the insurance coverage. This required the court to interpret the policy terms and determine if the ICAC's findings could be considered a "wrongful act." Additionally, the court had to decide whether the findings of corrupt conduct by ICAC, which had not yet resulted in a final determination or adjudication in relevant proceedings, could still be considered a wrongful act.

The court found that the ICAC's findings of corrupt conduct against the defendant amounted to a wrongful act under the insurance policy. The court reasoned that the policy's definition of a wrongful act was broad enough to include the ICAC's findings, which could potentially lead to criminal charges. Since the findings themselves constituted a wrongful act, the insurance coverage was triggered. The court also determined that the lack of a final determination or adjudication in relevant proceedings did not negate the insurance coverage, as the findings alone were sufficient to meet the policy's criteria.

The court issued a judgment in favour of the plaintiff, declaring that the defendant's actions constituted a wrongful act under the insurance policy. This decision meant that the plaintiff's insurance coverage was activated, and the defendant was liable for any damages or costs associated with the policy.