Mr Justice Christopher Clarke handed down judgment today dismissing the Defendants’ challenge to English jurisdiction. The background to the decision is a claim by Golden Ocean under an alleged guarantee for about US$57 million arising out of the alleged repudiation of a long term charter, with a claim in the alternative against the 2nd Defendant, Mr Salgaocar, for breach of warranty of authority to conclude contracts on behalf of the charterers and guarantor. The decision is of interest for its detailed examination of the requirements of s.4 of the Statute of Frauds 1677, and its discussion of the proper law of a claim for breach of warranty of authority by an agent. The judge’s discussion of forum conveniens is also notable in treating as a relevant factor in favour of the exercise of English jurisdiction the risk that the claim under the guarantee was doomed to fail as a matter of Indian law, but not as a matter of the applicable law of the contract, English law.
Timothy Young QC and Daniel Bovensiepen appeared for the Claimant
Charles Kimmins QC and Luke Pearce appeared for the 2nd Defendant.