DKB v. DKC: Enforcement of Foreign Award and Stay Application under International Arbitration Act

In the Singapore International Commercial Court, DKB, as assignee of a foreign award, sought to enforce it against DKC. DKC applied for a stay of proceedings under Section 6 of the International Arbitration Act, arguing that a dispute under a Settlement Deed required arbitration. DKB sought leave to have counsel make submissions on English law, which was opposed by DKC. The court dismissed DKB's application, determining that having already allowed expert evidence on the matter, it was inappropriate to order an alternative approach with potential cost and disruption to DKC.

1. Case Overview

1.1 Court

Singapore International Commercial Court

1.2 Outcome

Application dismissed with costs.

1.3 Case Type

Civil

1.4 Judgment Type

Grounds of Decision

1.5 Jurisdiction

Singapore

1.6 Description

DKB seeks to enforce a foreign award against DKC. DKC applies for a stay, arguing a breach of the Settlement Deed requires arbitration. The court addresses whether to allow submissions by counsel on English law.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
DKBClaimant, ApplicantCorporationApplication DismissedLost
DKCDefendant, RespondentCorporationApplication Opposed SuccessfullyWon

3. Judges

Judge NameTitleDelivered Judgment
Thomas BathurstInternational JudgeYes

4. Counsels

4. Facts

  1. DKB is the assignee of a Final Award issued on 9 October 2023.
  2. DKB was granted leave to enforce the B Award on 29 December 2023.
  3. DKC sought a stay of proceedings and to set aside the enforcement order.
  4. The Settlement Deed of 23 March 2017 stipulated that DKC would be released from obligations under the B Award upon payment of US$150,000,000.
  5. DKB claims the payment obligations under the Settlement Deed have been breached.
  6. DKC contends that payments would breach United States sanctions.
  7. DKB sought leave to file affidavits to adduce expert opinion on United States and English law.

5. Formal Citations

  1. DKB v DKC, Originating Application No 10 of 2024 (Summons No 46 of 2024), [2024] SGHC(I) 31

6. Timeline

DateEvent
Final Award issued in ZCC Claim No [redacted]
DKB granted leave to enforce the B Award
Settlement Deed between DKB, DKC, C, and D was executed
Commencement of instalment payments under the Settlement Deed
Conclusion of instalment payments under the Settlement Deed
DKC filed summons HC/SUM 1177/2024 for stay of proceedings
DKC filed summons HC/SUM 1133/2024 to set aside the order made on 22 December 2023
DKB filed summons SIC/SUM 25/2024 seeking leave to file affidavits
DKB submitted written submissions
DKB submitted subsequent submissions
Case management hearing where DKB was granted leave to file evidence of English law
DKB filed summons SIC/SUM 46/2024 seeking order for Mr. Roderick Cordara KC to appear
DKB and DKC submitted written submissions in SUM 46
Court dismissed the application in SUM 46
Judgment Date
Stay application listed for hearing

7. Legal Issues

  1. Admissibility of Expert Evidence on Foreign Law
    • Outcome: The court ruled against allowing submissions by counsel on English law, as expert evidence had already been admitted.
    • Category: Procedural
    • Sub-Issues:
      • Whether expert evidence and submissions on foreign law can be presented concurrently
      • Whether the court should allow submissions by counsel on English law after expert evidence has been filed
  2. Stay of Proceedings Pending Arbitration
    • Outcome: The court did not make a final determination on the stay application in this judgment, but considered the relevance of English law to the stay application.
    • Category: Procedural
    • Sub-Issues:
      • Whether a dispute exists under the Settlement Deed requiring arbitration
      • Whether enforcement of the B Award should be stayed pending resolution of the dispute

8. Remedies Sought

  1. Enforcement of Award
  2. Stay of Proceedings

9. Cause of Actions

  • Enforcement of Foreign Award
  • Breach of Contract

10. Practice Areas

  • International Commercial Litigation
  • Arbitration

11. Industries

  • No industries specified

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Tjong Very Sumito v Antig Investments Pte LimitedCourt of AppealYes[2009] 4 SLR(R) 732SingaporeCited for the principle that asserting a dispute or denial of a claim is sufficient to obtain a stay of proceedings in favor of arbitration.
Ralli Brothers v Compania Naviera Sota y AznarKing's BenchYes[1922] KB 287EnglandCited regarding an exception related to the applicability of United States sanctions.
Rappo, Tania v Accent Delight International LtdCourt of AppealYes[2017] 2 SLR 265SingaporeCited for the principle that Order 16 rule 8(1) prevents a party from establishing a proposition of foreign law by way of both expert evidence and submissions.
UniCredit Bank GmbH v RusChemAlliance LLCUnited Kingdom Supreme CourtYes[2024] UKSC 30United KingdomCited as a recent legal development relevant to choice of law questions.
Enka Insaat Ve Sanayi AS v OOO Insurance Company ChubbN/AYes[2020] 1 WLR 4117N/ACited as a case considered and applied in UniCredit Bank GmbH v RusChemAlliance LLC regarding choice of law questions.

13. Applicable Rules

Rule Name
Singapore International Commercial Court Rules 2021

14. Applicable Statutes

Statute NameJurisdiction
International Arbitration Act 1994Singapore

15. Key Terms and Keywords

15.1 Key Terms

  • Settlement Deed
  • Stay Application
  • Foreign Award
  • International Arbitration Act
  • Expert Opinion
  • United States Sanctions
  • English Law
  • Rules of Expedited Arbitration
  • Choice of Law

15.2 Keywords

  • arbitration
  • foreign award
  • stay of proceedings
  • expert evidence
  • Singapore International Commercial Court

17. Areas of Law

16. Subjects

  • Arbitration
  • Civil Procedure
  • Conflict of Laws
  • Sanctions