The Duden: Stay of Proceedings & Time Bar Waiver in Arbitration under Hague-Visby Rules
In The Duden, the High Court of Singapore heard an appeal by the defendants/appellants against the decision of the assistant registrar to grant a stay of proceedings in favour of arbitration in England, conditional upon the appellants waiving the defence of time bar. The respondents/plaintiffs, holders of a bill of lading, claimed damages for breach of contract, duty as bailees, and negligence related to cargo damage. The court dismissed the appeal, upholding the condition that the appellants waive the time bar defense in the arbitration proceedings.
1. Case Overview
1.1 Court
High Court1.2 Outcome
Appeal Dismissed
1.3 Case Type
Admiralty
1.4 Judgment Type
Grounds of Decision
1.5 Jurisdiction
Singapore
1.6 Description
Appeal regarding stay of proceedings for arbitration. The court dismissed the appeal, upholding the condition to waive the time bar defense.
1.7 Decision Date
2. Parties and Outcomes
| Party Name | Role | Type | Outcome | Outcome Type | Counsels |
|---|---|---|---|---|---|
| Appellants/Defendants | Appellant, Defendant | Corporation | Appeal Dismissed | Lost | |
| Respondents/Plaintiffs | Respondent, Plaintiff | Corporation | Appeal Upheld | Won |
3. Judges
| Judge Name | Title | Delivered Judgment |
|---|---|---|
| Andrew Ang | Judge | Yes |
4. Counsels
| Counsel Name | Organization |
|---|---|
| Wendy Leong | AsiaLegal LLC |
| Charmaine Fu | KhattarWong |
| Wendy Tan | KhattarWong |
4. Facts
- Respondents are lawful holders of Bill of Lading No 001 dated 27 September 2004.
- Cargo of 25,400mt of Indian Solar Salt was shipped on board the “DUDEN”.
- The Vessel was serving under a chain of time charterparties.
- Part of the Cargo was found damaged during discharging operations.
- Respondents filed a writ of summons in the High Court of Singapore.
- The Vessel called in Singapore on 15 February 2007 and 12 November 2007.
- The Vessel was released upon the appellants’ provision of security.
5. Formal Citations
- The Duden, Adm in Rem 112/2005, RA 247/2008, [2008] SGHC 149
6. Timeline
| Date | Event |
|---|---|
| Head charterparty was agreed between the appellant and Anchor Navigation Ltd. | |
| Anchor Navigation chartered the Vessel to Parkroad Corporation. | |
| Grand Loyal Ltd sub-chartered the Vessel to Goodearth Maritime Ltd. | |
| Goodearth fixed the Vessel to Jakhau Salt Company Pvt Ltd. | |
| Bill of Lading No 001 was issued. | |
| Part of the Cargo was found damaged during discharging operations. | |
| Respondents made a claim for compensation. | |
| Respondents filed a writ of summons in the High Court of Singapore. | |
| The Writ was renewed for a further 12 months. | |
| The Vessel called in Singapore. | |
| The Writ was renewed for a further 12 months. | |
| The Vessel called in Singapore again and service of the Writ was effected. | |
| The Vessel was released upon the appellants’ provision of security. | |
| The appellants filed Summons No 113 of 2008 to set aside the second renewal of the Writ. | |
| Choo Han Teck J reversed the setting aside of the second renewal of the Writ. | |
| The appellants appeared before the judge to appeal against the AR’s decision. | |
| The application to the Court of Appeal for leave to be granted was dismissed. | |
| The appeal was dismissed with costs. |
7. Legal Issues
- Stay of Court Proceedings for Arbitration
- Outcome: The court dismissed the appeal against the condition imposed for the stay.
- Category: Procedural
- Time Bar under Hague-Visby Rules
- Outcome: The court upheld the condition that the appellants waive the defence of time bar in the arbitration proceedings.
- Category: Substantive
- Incorporation of Arbitration Agreement
- Outcome: The court found uncertainty and confusion regarding the incorporation of the arbitration agreement.
- Category: Substantive
8. Remedies Sought
- Damages
- Interest
- Costs
9. Cause of Actions
- Breach of Contract
- Negligence
- Breach of Duty as Bailees
10. Practice Areas
- Admiralty
- Shipping
- Commercial Litigation
- Arbitration
11. Industries
- Shipping
12. Cited Cases
| Case Name | Court | Affirmed | Citation | Jurisdiction | Significance |
|---|---|---|---|---|---|
| Splosna Plovba International Shipping and Chartering d.o.o. v Adria Orient Line Pte Ltd | High Court | Yes | [1998] SGHC 289 | Singapore | Cited for the principle that the court has an unfettered discretion to impose terms and conditions upon a stay of court proceedings in favour of arbitration. |
| The Xanadu | High Court | Yes | [1998] 1 SLR 767 | Singapore | Cited for the principle that the court is entitled to impose terms and conditions as appear reasonable or required by the ties of justice, including the waiver of a defence of time bar in very special circumstances. |
| Lee Kuan Yew v Tang Liang Hong | Court of Appeal | Yes | [1997] 3 SLR 489 | Singapore | Cited regarding the situations where leave to appeal would be granted. |
13. Applicable Rules
| Rule Name |
|---|
| No applicable rules |
14. Applicable Statutes
| Statute Name | Jurisdiction |
|---|---|
| Section 6(2) International Arbitration Act (Cap 143A, 2002 Rev Ed) | Singapore |
| Supreme Court of Judicature Act (Cap 322, 2007 Rev Ed) | Singapore |
15. Key Terms and Keywords
15.1 Key Terms
- Time Bar
- Stay of Proceedings
- Arbitration Agreement
- Hague-Visby Rules
- Bill of Lading
- Charterparty
- Incorporation Clause
15.2 Keywords
- Arbitration
- Shipping
- Admiralty
- Time Bar
- Stay of Proceedings
- Hague-Visby Rules
17. Areas of Law
16. Subjects
- Arbitration
- Shipping
- Admiralty
- Contract Law
- Civil Procedure