The Eagle Prestige [2010] SGHC 93 and The Engedi [2010] SGHC 95

Arrest – good arguable case – disclosure; arbitration – stay of arrest

Johanna Hjalmarsson

Facts and proceedings

These two cases arose in Singapore out of the same set of facts, namely the grounding on 10 November 2008 of TS Bangkok, resulting in hull and propeller damage. TS Lines was the disponent owner of that vessel. EP Carriers (‘EPC’) was the sub-charterer of TS Bangkok at the time it grounded, having chartered it from TS Lines, and was also the owner of Eagle Prestige. On 2 December 2008 TS Lines commenced proceedings in rem against Eagle Prestige. On 22 December 2008 Eagle Prestige was sold for US$1 and ‘other good and valuable consideration’ to Capital Gate Holdings (‘CG’) and renamed Engedi. In February 2009 EPC entered into provisional liquidation by way of a creditors’ voluntary winding up. TS Lines also commenced arbitration against EPC in London pursuant to the charterparty in respect of the damage to the vessel and outstanding hire.