11 October, 2016
A claimant bought two separate claims against two separate defendants but which were for the same amount and for essentially the same losses. The claims were subject to different dispute resolution clauses; one to be arbitrated and one subject to the jurisdiction of the Singapore courts.
The court held that commencement of the first action in the Singapore court was in breach of the arbitration clause in that contract. The court held that this action should be stayed pending the outcome of arbitration proceedings which should be commenced and that the court had power to use its case management powers in this scenario, even though the matter was one of arbitration.
The court also ordered a stay of the court proceedings against the second defendant until the resolution of the arbitration against the first defendant as both claims dealt with the same losses.
For further information, please contact:
Jonathan Choo, Partner, Bird & Bird
jonathan.choo@twobirds.com
