Michael Wilson & Partners Ltd v Sinclair & Anor

Michael Wilson & Partners Ltd v Sinclair & Anor

It is not an abuse of process for MWP to pursue claims against Sinclair and Sokol based on issues previously decided in arbitration to which they were not parties, especially where Sinclair refused to join the arbitration and would not have been bound by an adverse award. The high threshold for abuse of process was not met; the claim should proceed to trial.

Parties
Appellant: Michael Wilson & Partners Limited; Respondent: Thomas Ian Sinclair; Respondent: Sokol Holdings Incorporated; Respondent (costs Only): John Forster Emmott
Jurisdiction
England and Wales
Judgment Date
13 January 2017
Procedural Posture
Civil Appeal / Appeal From Commercial Court Judgment Striking Out Claim as Abuse of Process
Outcome
Appeal allowed; strike out order reversed; claim to proceed to trial.
Legal Topics
Abuse of Process, Collateral Attack, Issue Estoppel, Arbitration Award Admissibility, Fiduciary Duty, Constructive Trust

Case Brief

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Parties

Michael Wilson & Partners Limited

Appellant

Thomas Ian Sinclair

Respondent

Sokol Holdings Incorporated

Respondent

John Forster Emmott

Respondent (costs Only)

Procedural Posture

Civil Appeal / Appeal From Commercial Court Judgment Striking Out Claim as Abuse of Process

  1. 1 Whether it is an abuse of process for a party to litigate issues already decided against it in prior arbitration to which the defendant was not a party
  2. 2 Admissibility of arbitration award in subsequent litigation
  3. 3 Application of abuse of process doctrine to prior arbitral awards

Ratio Decidendi

It is not an abuse of process for MWP to pursue claims against Sinclair and Sokol based on issues previously decided in arbitration to which they were not parties, especially where Sinclair refused to join the arbitration and would not have been bound by an adverse award. The high threshold for abuse of process was not met; the claim should proceed to trial.

Court Disposition

Appeal allowed; strike out order reversed; claim to proceed to trial.

Orders

  • MWP's appeal allowed
  • Strike out order set aside