Shagang Shipping Company Ltd v HNA Group Company Ltd [2018] EWCA Civ 1732 (23 July 2018)

Shagang Shipping Company Ltd v HNA Group Company Ltd [2018] EWCA Civ 1732 (23 July 2018)

The Court of Appeal held that the trial judge erred in allowing lingering doubts about torture to affect the evaluation of the reliability of the admissions. Once torture was not proved on the balance of probabilities, the admissions were admissible and should have been evaluated for reliability without reference to possible torture. The judge's failure to do so constituted an error of law, requiring the appellate court to reconsider the reliability and weight of the admissions and whether bribery was proved.

Citation
[2018] EWCA Civ 1732
Parties
Claimant / Respondent: Shagang Shipping Company Limited (in liquidation); Defendant / Appellant: HNA Group Company Limited
Jurisdiction
England and Wales
Judgment Date
23 July 2018
Procedural Posture
Appeal / Court of Appeal Judgment
Outcome
Appeal allowed
Legal Topics
Bribery, Torture, Admissibility of Confession Evidence, Guarantee Enforcement, Illegality, Fraudulent Non Disclosure
Commercial Law Contract Law Evidence Bribery Torture Admissibility of Confession Evidence Guarantee Enforcement Illegality +1 more

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Parties

Shagang Shipping Company Limited (in liquidation)

Claimant / Respondent

HNA Group Company Limited

Defendant / Appellant

Procedural Posture

Appeal / Court of Appeal Judgment

Legal Issues

  1. 1 Whether the charterparty was procured by bribery
  2. 2 Whether confessions were obtained by torture and are inadmissible
  3. 3 Whether the admissions should be given effect absent proof of torture

Ratio Decidendi

The Court of Appeal held that the trial judge erred in allowing lingering doubts about torture to affect the evaluation of the reliability of the admissions. Once torture was not proved on the balance of probabilities, the admissions were admissible and should have been evaluated for reliability without reference to possible torture. The judge's failure to do so constituted an error of law, requiring the appellate court to reconsider the reliability and weight of the admissions and whether bribery was proved.

Court Disposition

Appeal allowed

Orders

  • The trial judge's findings on bribery are set aside.
  • The admissions are to be evaluated without reference to possible torture.