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Lloyd's Maritime Law Newsletter

Republic of Liberia and another v. Gulf Oceanic Inc. and others - Court of Appeal (Oliver and Neill L.JJ.) - 7 February 1985

Party disputing arbitrators’ jurisdiction by way of declaratory court action met with counterclaim in respect of tort committed outside England - Whether counterclaim should be struck out

LPRC entered into a contract of affreightment with GOI. The contract was governed by English law and incorporated an arbitration clause. Disputes arose under the contract and GOI invoked the arbitration clause. GOI did not proceed against LPRC (because they thought that LPRC would not be able to satisfy any award), but instead alleged that LPRC was acting as agent for an undisclosed principal, ROL. GOI accordingly brought arbitration proceedings in England against ROL on the footing that ROL was party to the contract. All three parties were foreign entities resident outside the jurisdiction at all relevant times.

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