FKI Engineering Ltd & Anor v Stribog Ltd

FKI Engineering Ltd & Anor v Stribog Ltd

The English court is first seised for the purchase price claims under the BTA because the German proceedings expressly excluded those claims at commencement. The Defendant's later introduction of the assignment's invalidity in the German proceedings does not alter the seisin status. Article 28 does not grant discretion to the English court as it is first seised; any discretion to stay falls to the German court.

Parties
Claimant: FKI ENGINEERING LTD; Claimant: FKI LTD; Defendant: STRIBOG LTD (formerly DeWind Ltd)
Jurisdiction
England and Wales
Judgment Date
21 May 2010
Procedural Posture
Commercial Court Application / Ruling on Application for Stay of Proceedings
Outcome
Defendant's application for a stay of proceedings dismissed.
Legal Topics
Stay of Proceedings, Jurisdiction, Lis Pendens, Assignment of Claims, Council Regulation (ec) No 44/2001

Case Brief

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Parties

FKI ENGINEERING LTD

Claimant

FKI LTD

Claimant

STRIBOG LTD (formerly DeWind Ltd)

Defendant

Procedural Posture

Commercial Court Application / Ruling on Application for Stay of Proceedings

  1. 1 Whether the English proceedings should be stayed under Article 28 or Article 27 of Council Regulation (EC) No 44/2001 due to related proceedings in Germany
  2. 2 Which court is first seised for the purposes of Article 28
  3. 3 Whether the assignment agreement is valid under German law

Ratio Decidendi

The English court is first seised for the purchase price claims under the BTA because the German proceedings expressly excluded those claims at commencement. The Defendant's later introduction of the assignment's invalidity in the German proceedings does not alter the seisin status. Article 28 does not grant discretion to the English court as it is first seised; any discretion to stay falls to the German court.

Court Disposition

Defendant's application for a stay of proceedings dismissed.

Orders

  • Application for stay dismissed.
  • Proceedings to continue in the English court.