A recent decision of the Supreme Court of New South Wales in Magann v Trustees of the Roman Catholic Church of the Diocese of Paramatta [2019] NSWSC 1453 affirmed the “once and for all” effect of a 2007 deed of release between the applicant plaintiff (Magann) and respondent defendant (Diocese). This matter involved Mr Magann seeking to rely on the amendments to the Limitation Act 1969 (NSW) to remove the limitation period relating to child abuse actions.

The decision effectively extinguished the defendant’s liability regarding any cause of action arising from the matters contained in the deed. For insurers and institutional insureds, this is an important decision as there are likely to be further attempts by claimants to set aside settlement deeds where there is scope for an exploitation of a disadvantage argument.

Wotton + Kearney’s Sean O’Connor and Jasmin Sears look at the decision and its implications for insurers.

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