The Caribbean Court of Justice (CCJ) has dismissed a lawsuit against the Trinidad and Tobago government regarding the 2009 collapse of the British American Insurance Company Ltd. (BAICO) and Colonial Life Insurance Company Ltd. (CLICO).
In a summary of the judgment, CCJ President Justice Adrian Saunders announced, “The claim is dismissed and the parties were ordered to bear their own costs.” The lawsuit was brought by the British American Insurance Co. Ltd and Colonial Life Insurance Co. Ltd Policy Holders Group (BACOL), which sought justice for policyholders across Antigua and Barbuda, Dominica, Grenada, Montserrat, St. Kitts and Nevis, St. Lucia, and St. Vincent and the Grenadines. The group claimed that, after 15 years of effort, they had made significant strides toward financial justice for those who suffered severe losses due to the insurance companies’ collapse.
The ruling leaves many policyholders still seeking recourse, highlighting the ongoing challenges faced by those affected in the region. BACOL said the collapse resulted in losses of over EC$800,000,000 (One EC dollar=US$0.37 cents) to businesses and individuals. In April, the matter of Ellis Richards and others versus Trinidad and Tobago was heard by the CCJ, with the lawyers for the policyholders arguing that the Trinidad and Tobago government breached the Revised Treaty of Chaguaramas (RTC), which established the Caribbean Single Market and Economy (CSME), by bailing out certain local CL Financial (CLF) subsidiaries such as CLICO and British American Trinidad (BAT) and not regional subsidiaries such as BAICO.