General Dynamics United Kingdom Ltd v Libya

General Dynamics United Kingdom Ltd v Libya

The court has no power to dispense with service of the instituting document in proceedings to enforce an arbitration award against a state, as this would be contrary to the mandatory terms of section 12 of the State Immunity Act 1978; the order granting permission to enforce is the document required to be served for instituting proceedings when the claim form is not ordered to be served.

Parties
Claimant: General Dynamics United Kingdom Limited; Defendant: State of Libya
Jurisdiction
England and Wales
Judgment Date
18 January 2019
Procedural Posture
Arbitration Enforcement / Ruling on Application to Set Aside Order Dispensing With Service
Outcome
Application granted in part; paragraphs 4 and 5 of Teare J's order set aside; paragraph 6 varied; enforcement stayed pending proper service.
Legal Topics
Enforcement of Arbitral Awards, Service of Process, State Immunity, Civil Procedure
International Law Arbitration State Immunity Enforcement of Arbitral Awards Service of Process Civil Procedure

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Parties

General Dynamics United Kingdom Limited

Claimant

State of Libya

Defendant

Procedural Posture

Arbitration Enforcement / Ruling on Application to Set Aside Order Dispensing With Service

Legal Issues

  1. 1 Whether court proceedings to enforce an arbitration award against a state can proceed without formal service on the state
  2. 2 Whether the court has power to dispense with service of the instituting document under section 12 of the State Immunity Act 1978

Ratio Decidendi

The court has no power to dispense with service of the instituting document in proceedings to enforce an arbitration award against a state, as this would be contrary to the mandatory terms of section 12 of the State Immunity Act 1978; the order granting permission to enforce is the document required to be served for instituting proceedings when the claim form is not ordered to be served.

Court Disposition

Application granted in part; paragraphs 4 and 5 of Teare J's order set aside; paragraph 6 varied; enforcement stayed pending proper service.

Orders

  • Paragraphs 4 and 5 of Teare J's order dispensing with service and couriering documents are set aside.
  • Paragraph 6 varied: defendant may apply to set aside the order within two months after service on the Ministry of Foreign Affairs; enforcement stayed until application disposed of.