Case Summary
Adams v Dunne [1978] R.T.R. 281 was a case concerning the legal status of an insurance policy obtained through misrepresentation and whether it satisfied the statutory requirements under section 143 of the Road Traffic Act 1972.
The defendant, Dunne, was driving a motor van while disqualified from holding or obtaining a driving licence. He was stopped by the police and presented a valid insurance cover note. However, it was later discovered that he had failed to disclose his disqualification when applying for insurance. The insurer later confirmed that had they known of his disqualification, they would not have provided cover.
The prosecution argued that because the insurance contract had been obtained through fraudulent misrepresentation, it was void ab initio, meaning that Dunne was effectively uninsured while driving. However, the Nottinghamshire justices dismissed the charge, holding that since the insurance company had not taken any steps to avoid the contract at the relevant time, the cover note remained valid.
On appeal, the Divisional Court upheld this decision, relying on Durrant v MacLaren [1956], which had established that an insurance contract obtained through misrepresentation remains valid unless the insurer actively voids it.
Adams v Dunne [1978] is referenced on page 65 of Copper Stopper.