Iran Continental Shelf Oil Co 7 Ors v IRI International Corp [2002] EWCA Civ 1024 (28 June 2002)

Iran Continental Shelf Oil Co 7 Ors v IRI International Corp [2002] EWCA Civ 1024 (28 June 2002)

The contract's characteristic performance was, by agreement, to be effected through IRI's UK office, as reflected in the contractual documents and arrangements, and there were insufficient connecting factors to displace the presumption in favour of English law under Article 4.2 of the Rome Convention.

Source-derived case information.

Citation
[2002] EWCA Civ 1024
Parties
Claimant/appellant: Iran Continental Shelf Oil Company; Claimant/appellant: Iran Offshore Oil Company; Claimant/appellant: National Iranian Oil Company; Defendant/respondent: IRI International Corporation
Jurisdiction
England and Wales
Judgment Date
28 June 2002
Procedural Posture
Civil Appeal / Court of Appeal Judgment on Appeal From High Court (queen's Bench Division)
Outcome
Appeal allowed
Legal Topics
Governing Law of Contract, Rome Convention Article 4, Characteristic Performance, Conflict of Laws, International Sale of Goods
Private International Law Contract Law Governing Law of Contract Rome Convention Article 4 Characteristic Performance Conflict of Laws International Sale of Goods

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Parties

Iran Continental Shelf Oil Company

Claimant/appellant

Iran Offshore Oil Company

Claimant/appellant

National Iranian Oil Company

Claimant/appellant

IRI International Corporation

Defendant/respondent

Procedural Posture

Civil Appeal / Court of Appeal Judgment on Appeal From High Court (queen's Bench Division)

Legal Issues

  1. 1 What is the law governing the contract between the parties under the Rome Convention?
  2. 2 Was the contract's characteristic performance to be effected through IRI's UK office or its US office?
  3. 3 Does Article 4.2 or Article 4.5 of the Rome Convention determine the applicable law?

Ratio Decidendi

The contract's characteristic performance was, by agreement, to be effected through IRI's UK office, as reflected in the contractual documents and arrangements, and there were insufficient connecting factors to displace the presumption in favour of English law under Article 4.2 of the Rome Convention.

Court Disposition

Appeal allowed

Orders

  • Declaration that the contract is governed by English law
  • Appellants awarded costs of the appeal and 40% of costs below, payable forthwith but with right to apply for stay of execution