kesi MDTE Joint Venture v Water and Sewage Company (CCT/0435/2022) [2024] LSHC 42 (13 June 2024)

kesi MDTE Joint Venture v Water and Sewage Company (CCT/0435/2022) [2024] LSHC 42 (13 June 2024)

Once the defendant raised a special plea of lack of jurisdiction based on the arbitration clause, the court was bound by precedent to hold that it lacked jurisdiction and the matter must be referred to arbitration.

Citation
[2024] LSHC 42
Parties
Plaintiff: Kesi MDTE Joint Venture; Defendant: Water and Sewage Company
Court
High Court
Jurisdiction
Lesotho
Judgment Date
13 June 2024
Case Number
CCT/0435/2022
Procedural Posture
Civil / Special Plea of Lack of Jurisdiction
Outcome
special plea upheld; court lacks jurisdiction
Legal Topics
Arbitration Clause Interpretation, Jurisdiction, Stay of Proceedings
Source Language
English
Arbitration Civil Procedure Contract Law Arbitration Clause Interpretation Jurisdiction Stay of Proceedings

Case Brief

Summary, issues, holding and outcome

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Parties

Kesi MDTE Joint Venture

Plaintiff

Water and Sewage Company

Defendant

Procedural Posture

Civil / Special Plea of Lack of Jurisdiction

Legal Issues

  1. 1 Whether the court has jurisdiction to hear the matter where an arbitration clause exists and a party raises a special plea of lack of jurisdiction
  2. 2 Whether the use of the word 'may' in the arbitration clause gives the plaintiff an option to litigate or arbitrate

Ratio Decidendi

Once the defendant raised a special plea of lack of jurisdiction based on the arbitration clause, the court was bound by precedent to hold that it lacked jurisdiction and the matter must be referred to arbitration.

Court Disposition

special plea upheld; court lacks jurisdiction

Orders

  • The special plea succeeds with costs.