honorable engagement or undertaking
A phrase found in some reinsurance agreements that typically provides that
arbitrators shall interpret the reinsurance contract as an "honorable engagement"
and not merely as a legal obligation. The discretion given to reinsurance arbitrators
means that strict contract construction may or may not take place during a reinsurance
arbitration. While many reinsurance contracts continue the tradition of the
honorable engagement clause, more recently reinsureds and reinsurers have been
moving away from incorporating honorable engagement language in their reinsurance