Bofors-UVA and ors. v. Skandia Transport and ors. (The Tor Britannia) - Q.B.D. (Com.Ct.) (Bingham J.) - 1 December 1981

Whether proceedings should be stayed under 1975 Arbitration Act

This was an application by Skandia to stay proceedings under section 1 of the Arbitration Act 1975. The action arose out of damage to a grinding machine which was to be carried from Stockholm to Sudbury via Felixstowe. The plaintiff manufacturers of the machine had contracted with Skandia as freight forwarders. The terms of that contract were summarised in a waybill dated 15 February 1978 which expressly incorporated “the Nordic Conditions”. Skandia undertook to carry the machine from Stockholm to Felixstowe. The machine was carried on a trailer from Gothenburg to Felixstowe on the vessel Tor Britannia . The machine was unloaded from the trailer at Felixstowe but, in the course of further handling by the third defendants who were to take the machine to Sudbury, the machine was dropped and damaged.