Sri Lanka Insurance Corporation Ltd. vs Janashakthi Insurance Company Limited – SC/HCCA/LA/329/2023-2025

In the case between Sri Lanka Insurance Corporation Ltd. and Janashakthi Insurance Company Limited , the Court addressed the issue of whether a valid re-insurance contractual relationship existed between the parties. It was concluded that the evidentiary material failed to establish the alleged re-insurance agreement, and the legal framework surrounding national insurance, re-insurance mandates, and corporate privatization was critically examined. The findings established that the High Court decision was correct, and the request for Special Leave to Appeal was refused. Established principles of contract law, the doctrine of res judicata, and relevant statutory provisions underpinned the analysis, with the result that each party was directed to bear its own costs. The ruling emphasizes that