In a complex legal case which is thought to be unique in Bermuda, an application has been made to retrospectively reinstate a liquidated company so that it can pursue a million dollar claim against Lloyd's Underwriters.

Bermuda-registered exempted shipping firm Maritime Foundation Overseas was put into voluntary liquidation several years ago.

But, due to an oversight, the company's claim against Lloyd's in the commercial courts of London was not passed on to another related entity before the liquidation was completed.

As a result, Lloyd's successfully applied to have the action struck out on the grounds that a non-existent company was unable to sue.

Moves are now being made to retrospectively bring Maritime out of liquidation long enough for the claim against Lloyd's to be transferred to another entity.

The claim, which is thought to be for about $1 million, could then be resurrected in the London court and pursued to a finish.

After the transfer of the claim, which is considered a potential asset, Maritime would be put back into liquidation, said the defunct company's lawyer, Mr. John Riihiluoma.

"Bringing companies out of liquidation to transfer an asset is done several times a year in Bermuda,'' he said.

"But I am not aware of an application ever being made before in Bermuda to retrospectively reinstate a company to pursue a court claim.'' Lloyd's Underwriters, which is opposing the company's retrospective reinstatement, has been granted permission by an appeal court to take part in the proceedings after initially being turned down.

Maritime was refused permission yesterday to apply to the Privy Council in London to have this decision overturned.

Mr. Riihiluoma, who works for Cox & Wilkinson, said his client would consider appealing directly to the Privy Council.

Lloyd's Underwriters is being represented locally by Mr. Geoff Bell, of Appleby, Spurling & Kempe.