Mount Juliet Properties Ltd -v- Melcarne Develoments Ltd & Ors [2013] IEHC 286 (19 June 2013)

Mount Juliet Properties Ltd -v- Melcarne Develoments Ltd & Ors [2013] IEHC 286 (19 June 2013)

The court held that the references to SE 9101 and ME 9101 in the engagement correspondence were sufficient to incorporate the standard terms, including arbitration clauses, into the contracts between the plaintiff and the third and fourth defendants. The plaintiff was put on notice of the standard terms and cannot avoid being bound by them due to lack of knowledge. Article 8 of the Model Law requires the court to refer the parties to arbitration, and there was no estoppel or delay precluding the applications.

Citation
[2013] IEHC 286
Parties
Plaintiff: Mount Juliet Properties Limited; First Defendant: Melcarne Developments Limited trading as Walsh Brothers; Second Defendant: Campbell Conroy Hickey Partnership; Third Defendant: McCarrick Wood Limited trading as McCarrick Wood Consulting Engineers; Fourth Defendant: Hendrick Ryan & Associates Limited
Jurisdiction
Ireland
Judgment Date
19 June 2013
Procedural Posture
Plenary Proceedings (high Court, Ireland) / Interlocutory Application for Stay and Reference to Arbitration
Outcome
Applications granted; proceedings between plaintiff and third/fourth defendants stayed and referred to arbitration.
Legal Topics
Incorporation by Reference, Arbitration Agreement, Industry Standard Terms, Stay of Proceedings, Contribution and Indemnity
Arbitration Contract Law Construction Law Incorporation by Reference Arbitration Agreement Industry Standard Terms Stay of Proceedings Contribution and Indemnity

Case Brief

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Parties

Mount Juliet Properties Limited

Plaintiff

Melcarne Developments Limited trading as Walsh Brothers

First Defendant

Campbell Conroy Hickey Partnership

Second Defendant

McCarrick Wood Limited trading as McCarrick Wood Consulting Engineers

Third Defendant

Hendrick Ryan & Associates Limited

Fourth Defendant

Procedural Posture

Plenary Proceedings (high Court, Ireland) / Interlocutory Application for Stay and Reference to Arbitration

Legal Issues

  1. 1 Whether standard form arbitration clauses (SE 9101 and ME 9101) were incorporated by reference into contracts between plaintiff and third/fourth defendants
  2. 2 Whether the court must refer the parties to arbitration under Article 8 of the Model Law and Arbitration Act 2010
  3. 3 Whether delay or steps taken in related proceedings preclude reliance on arbitration agreement

Ratio Decidendi

The court held that the references to SE 9101 and ME 9101 in the engagement correspondence were sufficient to incorporate the standard terms, including arbitration clauses, into the contracts between the plaintiff and the third and fourth defendants. The plaintiff was put on notice of the standard terms and cannot avoid being bound by them due to lack of knowledge. Article 8 of the Model Law requires the court to refer the parties to arbitration, and there was no estoppel or delay precluding the applications.

Court Disposition

Applications granted; proceedings between plaintiff and third/fourth defendants stayed and referred to arbitration.

Orders

  • Order referring the plaintiff and the fourth defendant to arbitration pursuant to Article 8 of the Model Law and Arbitration Act 2010.
  • Order referring the plaintiff and the third defendant to arbitration pursuant to Article 8 of the Model Law and Arbitration Act 2010.