Practice question
Under Artex, what must be established before an original insured can rely on a third-party-benefit theory in a reinsurance contract?
- Only the size of the insured loss
- Only the reinsurer’s advertising
- Only the original insurer’s low capital
- A specific grant, assignment or manifest contractual intention to confer the relevant benefit
- Only a belief that every contract benefits everyone
Legal references
- Artex Development Co. v. Wellington Insurance Co., G.R. No. L-29508, June 27, 1973, main decision: https://lawphil.net/judjuris/juri1973/jun1973/gr_29508_1973.html
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