ABSTRACT

The House of Lords in Birrell & Others v Dryer & Others ,102 presided by the Earl of Selborne LC, in interpreting the term ‘warranted no St Lawrence …’ stated that there was no ambiguity or uncertainty in these words sufficient to prevent the application of the ordinary rules and principles of construction. The House of Lords felt that as a ‘fair and natural meaning’ could be placed on the warranty, there was no justification for invoking the contra proferentum rule to free the underwriters from liability. The fair and natural meaning of the words ‘St Lawrence’ covered the whole of the St Lawrence, both gulf and river.