17 Jul 1997
HOLLMET A.G. AND ANOTHER v. MERIDIAN SUCCESS METAL SUPPLIES LTD
- Citation
- HOLLMET A.G. AND ANOTHER v. MERIDIAN SUCCESS METAL SUPPLIES LTD
- Court
- Court of First Instance
- Case number
- HCCW14/1997
The Court held that an arbitration agreement does not automatically oust the Court's jurisdiction in a winding-up petition; the debtor must establish a bona fide dispute on substantial grounds or have arbitration commenced. In the present case the debtor ultimately established a bona fide dispute and arbitration had been commenced, so the petition was dismissed. Costs were apportioned: the debtor recovers costs up to the date when it should have filed adequate evidence (7 April 1997); petitioners recover costs from that date until the judgment day.