DREYMOOR FERTILISERS OVERSEAS PTE LTD V EUROCHEM TRADING GMBH AND ANOTHER

[2018] EWHC 2267 (Comm), Queen's Bench Division, Commercial Court, Mr Justice Males, 24 August 2018

Arbitration - Evidence - US court making disclosure order against witness in BVI proceedings - Parallel arbitration proceedings in England - Whether injunction should be granted to prevent enforcement of US order in England - Senior Courts Act 1981, section 51 - Arbitration Act 1996, section 44

Between 2008 and 2013 ECTG entered into a series of contracts to supply Dreymoor with fertilisers in India and for the rest of the world. The contracts were subject to arbitration in London. ECTG contended that Dreymoor had paid bribes to two senior employees of ECTG, and commenced judicial proceedings in the British Virgin Islands (BVI) against a number of defendants including Dreymoor and the two employees. ECTG also commenced arbitration in London. ECTG applied to the United States District Court for the Middle District of Tennessee under section 1782 of the United States Code for an order against an employee of Dreymoor residing there, requiring the employee to provide testimony by deposition or documents for use in the overseas judicial and arbitration proceedings. The purpose was to obtain evidence from the employee as to all improper payments made by Dreymoor. The US court made an order purely for the purposes of the BVI action, but it was common ground that the order did not preclude use in the arbitration proceedings. Dreymoor sought an injunction precluding enforcement of the order.