aggreko international projects ltd vs ms electrical engineering ltd 2018 tzhc 2849 22 may 2018

aggreko international projects ltd vs ms electrical engineering ltd 2018 tzhc 2849 22 may 2018

The parties' agreement under paragraph 18 contains a valid arbitration clause requiring disputes to be referred to arbitration in London. The petitioner has satisfied the requirements of section 6 of the Arbitration Act, and the respondent has not discharged the burden to show sufficient reason to depart from the arbitration clause. Proceedings are stayed pending arbitration.

Citation
aggreko international projects ltd vs ms electrical engineering ltd 2018 tzhc 2849 22 may 2018
Parties
Petitioner: Aggreko International Projects Limited; Respondent: M/s Electrical Engineering Limited
Court
TZHC
Jurisdiction
Tanzania
Judgment Date
22 May 2018
Procedural Posture
Miscellaneous Civil Cause / Ruling on Petition for Stay of Proceedings Pending Arbitration
Outcome
Petition granted; proceedings stayed pending arbitration.
Legal Topics
Stay of Proceedings, Arbitration Clause, Jurisdiction, Contract Enforcement
Source Language
English
Arbitration Civil Procedure Contract Law Stay of Proceedings Arbitration Clause Jurisdiction Contract Enforcement

Case Brief

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Parties

Aggreko International Projects Limited

Petitioner

M/s Electrical Engineering Limited

Respondent

Procedural Posture

Miscellaneous Civil Cause / Ruling on Petition for Stay of Proceedings Pending Arbitration

Legal Issues

  1. 1 Whether proceedings should be stayed pending arbitration under section 6 of the Arbitration Act
  2. 2 Whether the arbitration clause ousts the jurisdiction of Tanzanian courts
  3. 3 Whether the petitioner is ready and willing to arbitrate

Ratio Decidendi

The parties' agreement under paragraph 18 contains a valid arbitration clause requiring disputes to be referred to arbitration in London. The petitioner has satisfied the requirements of section 6 of the Arbitration Act, and the respondent has not discharged the burden to show sufficient reason to depart from the arbitration clause. Proceedings are stayed pending arbitration.

Court Disposition

Petition granted; proceedings stayed pending arbitration.

Orders

  • Proceedings in Civil Case No. 55 of 2015 stayed pending reference to arbitration.
  • Petitioner condemned to pay costs of the petition.