ABSTRACT
The words ‘by either party’ in s 17 have made it patently clear that the duty of utmost good faith is reciprocal. This principle of mutuality is adopted from the common law. If further confirmation be required, reference should be made to Banque Keyser Ullmann v Skandia,8 where Lord Justice Slade, on appeal, remarked that:9 ‘… the obligation to disclose material facts is a mutual one imposing reciprocal duties on insurer and insured. In the case of marine insurance contracts, s 17 in effect so provides’.
