The Supreme Court recently considered three questions relating to the total loss of the vessel Ocean Victory during a storm at the port of Kashima, Japan. The most controversial question was whether the terms of the insurance clause in the bareboat charterparty between the shipowners and demise charterers provided an exclusive regime for compensation for loss of the vessel that precluded hull insurers' subrogation rights.
The High Court recently provided a helpful analysis of the circumstances in which a parent company owes a duty of care with regard to operations carried out by its subsidiary. In this case, establishing whether the parent owed a duty of care was central in determining whether the English courts had jurisdiction. The case is interesting in the context of the readiness of the English courts to hear claims relating to conduct outside the jurisdiction brought by foreign claimants.
In Holyoake v Candy the High Court considered the court's power to grant a 'notification injunction' requiring the defendants to give written notice before disposing of or dealing with their assets. The decision is of interest to applicants seeking an alternative to a freezing injunction where there is concern that a respondent may deal with its assets so as to frustrate the enforcement of any future judgment.
On January 10 2015 the recast EU Brussels Regulation came into force, repealing and replacing the Brussels I Regulation (44/2001). Among the reforms introduced by the recast Brussels Regulation are provisions intended to prevent the infamous abusive litigation tactic known as the 'Italian torpedo'.
In Rochester Resources Limited v Lebedev the Commercial Court rejected an application for an injunction restraining New York court proceedings in favour of arbitration. This case is a reminder of the importance of carefully and precisely drafting agreements to arbitrate.
The Court of Appeal has delivered an important judgment on the meaning of a company's 'central administration' under the EU Brussels I Regulation. The decision confirms that it is not permissible for claimants to pursue within the European Union extra-EU subsidiaries of EU-domiciled groups.
In Bailey v Angove's Pty Limited the Court of Appeal overturned a decision of the High Court, and so permitted the liquidator of an insolvent agent to recover funds due to it from end customers despite the agency having been terminated. Moreover, the court's findings on constructive trust represent a significant narrowing of the availability of that argument for creditors faced with an insolvency.