TODD PETROLEUM MINING COMPANY LIMITED v VECTOR GAS TRADING LIMITED [2017] NZHC 2734

TODD PETROLEUM MINING COMPANY LIMITED v VECTOR GAS TRADING LIMITED [2017] NZHC 2734

The judgment was recalled because the Court erred in offering a preliminary adverse view on procedural fairness (natural justice) where that issue was the subject of a separate application to set aside the arbitral award; giving such a view was unnecessary, risked prejudice, and constituted a 'very special reason' justifying recall and reissue with deletion of the offending passages.

Citation
[2017] NZHC 2734
Parties
First Applicant: Todd Petroleum Mining Company Limited; Second Applicant: Shell (Petroleum Mining) Company Limited; First Respondent: Vector Gas Trading Limited; Second Respondent: Vector Gas Limited
Court
High Court
Jurisdiction
New Zealand
Judgment Date
8 November 2017
Procedural Posture
Application for Leave to Appeal Arbitral Award; Related Application to Set Aside Arbitral Award / Recall Application Following Judgment Denying Leave to Appeal
Outcome
Judgment recalled and reissued with deletion of paragraphs [100] to [106]; applicant Todd awarded costs
Legal Topics
Natural Justice, Procedural Fairness, Recall of Judgment, Leave to Appeal, Setting Aside Arbitral Award, Issue Estoppel
Arbitration Civil Procedure Administrative Law Evidence Natural Justice Procedural Fairness Recall of Judgment Leave to Appeal +2 more

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Parties

Todd Petroleum Mining Company Limited

First Applicant

Shell (Petroleum Mining) Company Limited

Second Applicant

Vector Gas Trading Limited

First Respondent

Vector Gas Limited

Second Respondent

Procedural Posture

Application for Leave to Appeal Arbitral Award; Related Application to Set Aside Arbitral Award / Recall Application Following Judgment Denying Leave to Appeal

Legal Issues

  1. 1 Whether the High Court should have expressed a preliminary view on procedural fairness issues that were the subject of a separate application to set aside the arbitral award
  2. 2 Whether the judgment should be recalled for 'very special reasons' because the Court expressed an unnecessary adverse preliminary view
  3. 3 Whether issue estoppel could be founded on the Court's preliminary comments

Ratio Decidendi

The judgment was recalled because the Court erred in offering a preliminary adverse view on procedural fairness (natural justice) where that issue was the subject of a separate application to set aside the arbitral award; giving such a view was unnecessary, risked prejudice, and constituted a 'very special reason' justifying recall and reissue with deletion of the offending passages.

Court Disposition

Judgment recalled and reissued with deletion of paragraphs [100] to [106]; applicant Todd awarded costs

Orders

  • Judgment recalled and reissued with paragraphs [100] to [106] deleted and paragraph [100] replaced as set out in the reissued judgment
  • Applicant Todd Petroleum Mining Company Limited awarded costs