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Commercial Disputes Weekly – Issue 3216 June 2020

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We appreciate that our clients, partners and friends are currently facing unprecedented challenges as a result of the spread of the COVID-19 virus. Click here for a message from our Managing Partners, and here for all of our latest updates and articles on the subject. If you have any questions or require support, please do not hesitate to speak to your usual contact at WFW.

Providing a helpful reminder that, where attempts are made to prevent enforcement of a foreign judgment on the grounds of public policy, the English courts will look to whether the foreign judgment itself offends against English public policy and will not inquire into the underlying transaction, the English High Court has upheld a decision rejecting attempts to stop enforcement of a judgment of the Dubai First Instance Court.
Lenkor Energy Trading DMCC v Puri

"Assent is not to be inferred from silence, unless there is further indication that the putative principal acquiesces in the agency."MVV Environment Devonport Ltd v NTO Shipping GmbH & Co KG (MS Nortrader)

Emphasising that while the parties to a contract of carriage evidenced by a bill of lading will normally be the persons named in the bill of lading as shipper and carrier, that presumption is no more than a starting point, the Commercial Court has found that an arbitral tribunal did not have jurisdiction over a claimant that had erroneously been named as the shipper in a bill of lading.  The claimant had not given express authority to enter into the contract, and its failure to object to being named erroneously on previous bills of lading did not amount to implied authority without more.
MVV Environment Devonport Ltd v NTO Shipping GmbH & Co KG (MS Nortrader)

Trade finance
In a significant matter for parties engaged in trade finance, the Commercial Court has held that although a foreign law pledge over copper was invalid, a lender was entitled to bring a claim for damages arising out of the loss of the copper pursuant to its rights to possession as a contractual bailor under the terms of a collateral management agreement.
Scipion Active Trading Fund v Vallis Group Limited (formerly Vallis Commodities Limited)


Should you wish to discuss any of these cases in further detail, please speak with a member of our London dispute resolution team below, or your regular contact at Watson Farley & Williams:

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