L. Grollo & Company Pty Ltd v Nu-Statt Decoration Pty Ltd & Ors [1983] FCA 414

L. Grollo & Company Pty Ltd v Nu-Statt Decoration Pty Ltd & Ors [1983] FCA 414

The Federal Court does not have jurisdiction to restrain the defendant from proceeding with arbitration on the grounds of delay which has occurred, nor does it have jurisdiction to restrain the arbitrator from proceeding. The law does not empower the Court to restrain consensual contractual arbitration for want of prosecution; as such, the application must be dismissed.

Parties
Plaintiff: L. Grollo & Co. Pty. Ltd.; Defendant: Nu-Statt Decorating Pty. Ltd.; Former Defendant: Master Builders Association; Former Defendant: The Royal Australian Institute of Architects; Former Defendant: The Royal Australian Institute of Architects (Victorian Chapter); Former Defendant: President of the Royal Australian Institute of Architects (Victorian Chapter); Former Defendant: Master Builders Federation of Australia Inc.; Former Defendant: The Australian Institute of Building
Jurisdiction
Australia
Judgment Date
01 December 1983
Procedural Posture
Chamber Summons / Application for Interlocutory Relief—motion to Restrain Arbitration
Outcome
summons dismissed with costs
Legal Topics
Restraint of Arbitration, Arbitration Agreements, Restraint of Trade, Misleading and Deceptive Conduct, Breach of Warranty
Arbitration Contracts Trade Practices Restraint of Arbitration Arbitration Agreements Restraint of Trade Misleading and Deceptive Conduct Breach of Warranty

Case Brief

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Parties

L. Grollo & Co. Pty. Ltd.

Plaintiff

Nu-Statt Decorating Pty. Ltd.

Defendant

Master Builders Association

Former Defendant

The Royal Australian Institute of Architects

Former Defendant

The Royal Australian Institute of Architects (Victorian Chapter)

Former Defendant

President of the Royal Australian Institute of Architects (Victorian Chapter)

Former Defendant

Master Builders Federation of Australia Inc.

Former Defendant

The Australian Institute of Building

Former Defendant

Procedural Posture

Chamber Summons / Application for Interlocutory Relief—motion to Restrain Arbitration

Legal Issues

  1. 1 Whether the defendant should be restrained from proceeding with arbitration under the agreement while Federal Court proceedings are pending
  2. 2 Whether delay in pursuing arbitration provides jurisdiction to restrain arbitration
  3. 3 Whether the Federal Court has jurisdiction to restrain arbitration or parties on grounds of delay

Ratio Decidendi

The Federal Court does not have jurisdiction to restrain the defendant from proceeding with arbitration on the grounds of delay which has occurred, nor does it have jurisdiction to restrain the arbitrator from proceeding. The law does not empower the Court to restrain consensual contractual arbitration for want of prosecution; as such, the application must be dismissed.

Court Disposition

summons dismissed with costs

Orders

  • The summons is dismissed.
  • Plaintiff to pay the defendant's costs.