Sue & Labor clause

A provision in marine insurance obligating the assured to do things necessary after a loss to prevent further loss and to act in the best interests of the insurer. The sue and labor clause of the open cargo policy reads essentially as follows: In case of any loss ort misfortune it shall be lawful and necessary to and for the assured, his or their factors, servants and assigns to sue, labor, and travel, or, in and about the defense safeguard and recovery of the goods and merchandise or any part thereof …. to the charges whereof this company will contribute according to the rate and quantity of the sum herein insured.

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