Integral Petroleum SA v SCU-Finanz AG

Integral Petroleum SA v SCU-Finanz AG

Service of the Particulars of Claim by email, though not compliant with the rules, was validated under CPR 3.10 as a procedural error causing no prejudice, so default judgment was not wrongly entered under CPR 13.2. However, SCU-Finanz had a complete defence under Swiss law as the Supply Contract was not binding without two signatures, and the balance of justice favoured setting aside the judgment under CPR 13.3 despite delay.

Parties
Claimant: Integral Petroleum SA; Defendant: SCU-Finanz AG
Jurisdiction
England and Wales
Judgment Date
14 March 2014
Procedural Posture
Commercial Contract Dispute / Application to Set Aside Default Judgment
Outcome
Default judgment set aside
Legal Topics
Default Judgment, Service of Process, Company Capacity, Conflict of Laws—company Constitution, Damages—quantum, Discretion to Set Aside Judgment
Commercial Law Conflict of Laws Civil Procedure Default Judgment Service of Process Company Capacity Conflict of Laws—company Constitution Damages—quantum +1 more

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Parties

Integral Petroleum SA

Claimant

SCU-Finanz AG

Defendant

Procedural Posture

Commercial Contract Dispute / Application to Set Aside Default Judgment

Legal Issues

  1. 1 Whether default judgment should be set aside under CPR 13.2 or 13.3
  2. 2 Whether service of Particulars of Claim by email was valid under the CPR
  3. 3 Whether the Supply Contract was binding on SCU-Finanz under Swiss law

Ratio Decidendi

Service of the Particulars of Claim by email, though not compliant with the rules, was validated under CPR 3.10 as a procedural error causing no prejudice, so default judgment was not wrongly entered under CPR 13.2. However, SCU-Finanz had a complete defence under Swiss law as the Supply Contract was not binding without two signatures, and the balance of justice favoured setting aside the judgment under CPR 13.3 despite delay.

Court Disposition

Default judgment set aside

Orders

  • Default judgment entered on 17 July 2013 for US$ 1,078,547 plus costs is set aside.
  • SCU-Finanz granted permission to defend the claim.