GOLDEN OCEAN GROUP LTD V SALGAOCAR MINING INDUSTRIES PVT LTD (THE "GOLDEN OCEAN")

[2012] EWCA Civ 265, Court of Appeal, Lord Justice Rix, Lord Justice Tomlinson and Sir Mark Waller, 9 March 2012

Guarantee - Whether requirement for writing satisfied by two or more documents - Effect of electronic signature - Statute of Frauds 1677, section 4 - Breach of warranty of authority - Law applicable to warranty - Rome Convention 1980, articles 3 and 4

The claimants, the owners of the vessel Golden Ocean, chartered the vessel to Trustworth Shipping, a Singaporean company which was the chartering arm of the defendants, SMI, a company based in Goa. The charterparty was expressly stated to be subject to English law. Golden Ocean claimed that Trustworth had been nominated by SMI as charterers, that SMI had guaranteed Trustworth's performance, and that Trustworth had repudiated the charterparty. Golden Ocean sought to recover some US$54 million under the guarantee and commenced proceedings in England. SMI and Trustworth argued that the individual who entered into the contracts, S, was not authorised to do so. Golden Ocean in the alternative claimed against S for breach of warranty of authority.