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Shanghai Shipyard Co Ltd v Reignwood International Investment (Group) Co Ltd – QBD (Comm Ct) (Robin Knowles J) [2020] EWHC 803 (Comm) – 3 April 2020

Lloyd's Maritime Law Newsletter

Shanghai Shipyard Co Ltd v Reignwood International Investment (Group) Co Ltd – QBD (Comm Ct) (Robin Knowles J) [2020] EWHC 803 (Comm) – 3 April 2020

Guarantee – Shipbuilding contract – Builder claiming final instalment of price – Dispute as to whether buyer liable to pay final instalment – Builder claiming final instalment from guarantor on basis that guarantee was a demand guarantee – Whether guarantee a demand guarantee or a see to it guarantee – Whether guarantor’s liability dependent upon time of commencement of arbitration relating to underlying dispute

The claimant (the Builder) and the defendant were parties to a contract entitled “Irrevocable Payment Guarantee” dated 17 November 2011 (the Guarantee).

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