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Lloyd's Maritime Law Newsletter

Sim Swee Joo Shipping Sdn Bhd v Shirlstar Container Transport Ltd - QBD (Com Ct) (Mance J) - 16 February 1994

Contract containing arbitration clause assigned to claimants - Claimants commenced arbitration proceedings but did not join assignor - Respondents to arbitration protested and refused to appoint own arbitrator - Whether arbitration proceedings a nullity

The claimants entered into an inter-related long term agreement and lease agreement under which they were to hire 100 containers from Containerworld Leasing Ltd (“CCL”) for five years, at the end of which the claimants would have a purchase option. The former agreement incorporated the terms of the latter, which included an arbitration clause providing for disputes to be referred to a single arbitrator or, in default of agreement upon a single arbitrator, for each party to appoint his own arbitrator.

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