Kruppa v Benedetti & Anor [2014] EWHC 1887 (Comm) (11 June 2014)

Kruppa v Benedetti & Anor [2014] EWHC 1887 (Comm) (11 June 2014)

The clause did not constitute a binding arbitration agreement because it only required the parties to endeavour to resolve disputes through Swiss arbitration, lacked essential terms for arbitration, and expressly provided for litigation in the English courts if arbitration did not resolve the dispute. Therefore, the requirements of section 6(1) of the Arbitration Act 1996 were not met.

Citation
[2014] EWHC 1887 (Comm)
Parties
Claimant: Christian Kruppa; Defendant: Alessandro Benedetti; Defendant: Bertrand des Pallières
Jurisdiction
England and Wales
Judgment Date
11 June 2014
Procedural Posture
Application to Stay Proceedings / Interlocutory Application Before Trial
Outcome
Application dismissed
Legal Topics
Arbitration Agreements, Jurisdiction Clauses, Stay of Proceedings, Interpretation of Dispute Resolution Clauses
Commercial Law Arbitration Arbitration Agreements Jurisdiction Clauses Stay of Proceedings Interpretation of Dispute Resolution Clauses

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Parties

Christian Kruppa

Claimant

Alessandro Benedetti

Defendant

Bertrand des Pallières

Defendant

Procedural Posture

Application to Stay Proceedings / Interlocutory Application Before Trial

Legal Issues

  1. 1 Whether the 'Governing Law and Jurisdiction' clause constitutes an arbitration agreement under section 6(1) of the Arbitration Act 1996
  2. 2 Whether proceedings should be stayed under section 9 of the Arbitration Act 1996

Ratio Decidendi

The clause did not constitute a binding arbitration agreement because it only required the parties to endeavour to resolve disputes through Swiss arbitration, lacked essential terms for arbitration, and expressly provided for litigation in the English courts if arbitration did not resolve the dispute. Therefore, the requirements of section 6(1) of the Arbitration Act 1996 were not met.

Court Disposition

Application dismissed

Orders

  • Defendants' applications for a stay of proceedings are dismissed with costs.