UK P&I Club NV v República Bolivariana De Venezuela

UK P&I Club NV v República Bolivariana De Venezuela

Section 13(2)(a) of the State Immunity Act 1978, which prohibits the grant of injunctions against states, is not incompatible with Article 6(1) ECHR because, in the absence of a binding rule of customary international law, the restriction is justified as it lies within the range of possible rules consistent with current international standards and is proportionate to the legitimate aim of comity and respect for state sovereignty. Anti-suit injunctions are part of the enforcement jurisdiction, and the UK is not an outlier in adopting this approach. The section cannot be read down under the Human Rights Act to create exceptions for commercial matters.

Parties
Claimant/appellant: UK P&I Club N.V.; Claimant/appellant: United Kingdom Mutual Steam Ship Assurance Association Limited; Defendant/respondent: República Bolivariana de Venezuela
Jurisdiction
England and Wales
Judgment Date
26 November 2024
Procedural Posture
Appeal (arbitration/commercial) / Court of Appeal Judgment on Appeal From High Court
Outcome
Appeal dismissed
Legal Topics
State Immunity, Anti Suit Injunctions, Article 6 ECHR (right to Fair Trial), Enforcement Jurisdiction, Customary International Law, Interpretation of Human Rights Act
International Law Commercial Law Human Rights Law Arbitration State Immunity Anti Suit Injunctions Article 6 ECHR (right to Fair Trial) Enforcement Jurisdiction +2 more

Case Brief

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Parties

UK P&I Club N.V.

Claimant/appellant

United Kingdom Mutual Steam Ship Assurance Association Limited

Claimant/appellant

República Bolivariana de Venezuela

Defendant/respondent

Procedural Posture

Appeal (arbitration/commercial) / Court of Appeal Judgment on Appeal From High Court

Legal Issues

  1. 1 Whether section 13(2)(a) of the State Immunity Act 1978, which prohibits injunctions against states, is compatible with Article 6(1) ECHR (right to a fair trial)
  2. 2 Whether anti-suit injunctions are part of the court’s enforcement or adjudicative jurisdiction for purposes of state immunity
  3. 3 Whether the interference with Article 6 rights is justified and proportionate under domestic and international law

Ratio Decidendi

Section 13(2)(a) of the State Immunity Act 1978, which prohibits the grant of injunctions against states, is not incompatible with Article 6(1) ECHR because, in the absence of a binding rule of customary international law, the restriction is justified as it lies within the range of possible rules consistent with current international standards and is proportionate to the legitimate aim of comity and respect for state sovereignty. Anti-suit injunctions are part of the enforcement jurisdiction, and the UK is not an outlier in adopting this approach. The section cannot be read down under the Human Rights Act to create exceptions for commercial matters.

Court Disposition

Appeal dismissed

Orders

  • The appeal is dismissed; the High Court’s refusal to grant a permanent anti-suit injunction is upheld.
  • No order to read down section 13(2)(a) SIA; the statutory bar on injunctions against states remains.