Litigation Letter
Repudiation by proceedings
Comandate Marine Corporation v Pan Australia Shipping Pty Ltd; [2008] 1 Lloyd’s Law Rep p119
In June 2006, the charterers, Pan, commenced in rem proceedings for security. The agreement required English law arbitration
in London. The ship owners threatened an application to the English High Court for an anti-suit injunction. Pan obtained from
the Australian court an anti-anti-suit injunction. The ship owner then commenced its own in rem proceedings for surrogate
ship arrest and the stay of the Australian proceedings in favour of arbitration in London. The primary judge refused the application
on the grounds that the ship owners had waived the benefit of the arbitration agreement by bringing its own
in rem proceedings.