Reinsurers Sue General Electric Over $28 Million Algerian Power Plant Shutdown
October 19, 2021
ATLANTA — Various reinsurers and retrocessionaires have filed a subrogation action against General Electric International Inc. and its affiliates, accusing them of knowingly supplying a defective turbine blade to an Algerian power plant that resulted in a $28 million shutdown and insurance payout.
In an Oct. 14 complaint filed in the U.S. District Court for the Northern District of Georgia, the plaintiffs say GE is responsible for the damage and business interruption losses caused by the turbine’s failure and must therefore reimburse plaintiffs for reinsurance proceeds they paid to the plant’s insurer.
On Oct. 14, 2019, a GE 9371 Frame …
- Fields Howell LLP
- Kennedys CMK LLC