By Fatima Saka
A Lagos State High Court has ruled in favour of IRS Airlines Limited in a long-running insurance dispute over one of its aircraft, declaring the airline’s claim valid and faulting the refusal of insurers to honour the policy.
Justice K. A. Jose of the Commercial Division delivered the judgment on Feb. 12 in Suit No. LD/3187CMW/2017, which arose from the rejection of an insurance claim filed by the airline.
The dispute centred on a Fokker 100 aircraft with registration number 5N-SIK owned by the airline.
The airline had argued that it complied fully with the terms and conditions of the insurance policy issued by a consortium of insurance companies, but the insurers declined to settle the claim, prompting the airline to seek legal redress.
In the ruling, Justice Jose held that the insurers failed to justify their refusal to honour the claim and dismissed the arguments put forward in their defence.
The court also struck out a counterclaim filed by one of the insurers seeking to invalidate the insurance contract.
In addition, the court awarded post-judgment interest of six per cent per annum on the judgment sum until the debt is fully settled.
Reacting to the judgment, the Managing Director of IRS Airlines Limited, Mr. Yemi Dada, described the ruling as a vindication of the airline’s position.
Dada said the decision affirmed that the insurance claim was legitimate and that the insurers’ refusal to fulfil their obligations under the policy was unjustified.
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He noted that the ruling reinforces the importance of good faith and contractual accountability in the aviation insurance sector, which he said plays a crucial role in supporting safe and sustainable airline operations.
The airline reiterated its commitment to maintaining high standards of safety, compliance and transparency in its operations and expressed appreciation to the court for its careful consideration of the case.
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