CIMC Raffles Offshore (Singapore) Ltd & Anor v Schahin Holding SA

CIMC Raffles Offshore (Singapore) Ltd & Anor v Schahin Holding SA

The guarantee's anti-discharge and primary obligor provisions do not conclusively exclude the purview doctrine; the question of whether the guarantee extends to the increased liabilities under post-guarantee amendments and whether it is discharged requires a trial to resolve factual and interpretive issues.

Parties
Appellant/claimant: CIMC Raffles Offshore (Singapore) Limited; Appellant/claimant: Yantai CIMC Raffles Offshore Limited; Respondent/defendant: Schahin Holding SA
Jurisdiction
England and Wales
Judgment Date
07 June 2013
Procedural Posture
Civil Appeal / Interlocutory Appeal From Summary Judgment
Outcome
Guarantor's appeal allowed; builder's cross-appeal dismissed; matter to proceed to trial.
Legal Topics
Guarantees, Variation of Contract, Summary Judgment, Purview Doctrine, Holme V. Brunskill Discharge, Primary Obligor Liability
Contract Law Commercial Law Guarantees Variation of Contract Summary Judgment Purview Doctrine Holme V. Brunskill Discharge Primary Obligor Liability

Case Brief

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Parties

CIMC Raffles Offshore (Singapore) Limited

Appellant/claimant

Yantai CIMC Raffles Offshore Limited

Appellant/claimant

Schahin Holding SA

Respondent/defendant

Procedural Posture

Civil Appeal / Interlocutory Appeal From Summary Judgment

Legal Issues

  1. 1 Whether the guarantee was discharged by post-guarantee amendments to the shipbuilding contracts without the guarantor's consent
  2. 2 Whether the guarantee extends to cover increased liabilities under post-guarantee amendments
  3. 3 Whether the anti-discharge and primary obligor provisions exclude the purview doctrine

Ratio Decidendi

The guarantee's anti-discharge and primary obligor provisions do not conclusively exclude the purview doctrine; the question of whether the guarantee extends to the increased liabilities under post-guarantee amendments and whether it is discharged requires a trial to resolve factual and interpretive issues.

Court Disposition

Guarantor's appeal allowed; builder's cross-appeal dismissed; matter to proceed to trial.

Orders

  • Trial ordered to resolve whether guarantee extends to post-guarantee amendments and whether it is discharged.