Peoples' Insurance Co of China and Anr v Vysanthi Shipping Co Ltd (The "Joanna V") - QBD (Com Ct)(Thomas J) - 10 July 2003

Arbitration - Jurisdiction - Respondents contesting London arbitration subject to disputing arbitrator's jurisdiction - Award published holding respondents liable on the merits - Respondents failing to challenge award for jurisdiction within 28-day time limit - Respondents subsequently obtaining favourable decision on merits in Courts of China and applying to extend time for challenging award

On 28 June 1996 the owners of the vessel Joanna V issued two bills of lading for cargo loaded aboard the vessel in San Lorenzo, Argentina for carriage to China. The bills of lading contained a London arbitration clause. Whilst attempting to leave San Lorenzo, the vessel grounded and required salvage assistance. The owners declared general average. The salvors requested security, and the vessel was delayed until cargo interests provided such security. The bills of lading were negotiated to the second claimants ("the receivers"), who carried on business in Beijing. The first claimants ("PICC") provided the salvage guarantees.