Maclaine Watson & Company Ltd v International Tin Council
Jurisdiction | England & Wales |
Judgment Date | 1987 |
Date | 1987 |
Court | Chancery Division |
Company - Receiver - International organisation - Organisation created by treaty - Headquarters of organisation in United Kingdom - Organisation insolvent - Whether jurisdiction in court to appoint receiver by way of equitable execution over organisation's rights against member states -
Between 29 August and 23 October 1985, the applicants, who were dealing members of the London Metal Exchange, entered into contracts with the International Tin Council (the “I.T.C.”), an international organisation set up by treaty between Great Britain and a number of foreign sovereign states, which was currently constituted under the Sixth International Tin Agreement (the “Agreement”) for the purchase and sale of tin. The I.T.C. defaulted. In an arbitration to which the I.T.C. submitted, the applicants obtained an award in their favour of £6000000 with taxed costs of £7116. The award was not satisfied. Having obtained leave pursuant to section 26 of the
On the hearing of the motions: —
Held, that while the court in principle possessed jurisdiction, not being debarred by any technical objection, to appoint a receiver by way of equitable execution over the relevant assets of the I.T.C., namely its possible claims to be indemnified by or to receive contributions from its member states, and while any such receiver could be given power to bring proceedings in the I.T.C.'s name, the applicants had failed to show any arguable case for contending that the I.T.C. had any cause of action against its members which was not derived from international treaty; that since it was accepted that a cause of action based on an alleged breach of the treaty would not be justiciable in the English courts, the applicants had failed to show that the I.T.C. had an arguable cause of action against the member states capable of being taken over by the receiver and entertained by the court, and their application for the appointment of a receiver must be dismissed (post, pp. 517G–518D, E–F, 519F–H, 521G–H).
The following cases are referred to in the judgment:
Anglo-Italian Bank v. Davies (
Bonsor v. Musicians' Union [
Bourne v. Colodense Ltd. [
Edwards & Co. v. Picard [
Goldschmidt v. Oberrheinische Metallwerke [
Harris v. Beauchamp Brothers [
Holmes v. Millage [
International Tin Council, In re [
Johnson v. Diamond (
Manchester and Liverpool District Banking Co. Ltd. v. Parkinson (
Maspons y Hermano v. Mildred Goyeneche & Co. (
Morgan v. Hart [
Royal Bank of Australia, In re, Robinson's Executor's Case (
Sea Fire and Life Assurance Co., In re, Greenwood's Case (
Shephard, In re (
Westhead v. Riley (
The following additional cases were cited in argument:
Adams v. Adams (Attorney-General intervening) [
Alcom Ltd. v. Republic of Columbia [
Birmingham and District Land Co. v. London and North Western Railway Co. (
Blackman v. Fysh [
Bull (Henry) & Co. v. Murphy (
Buttes Gas and Oil Co. v. Hammer (No. 3) [
Cadogan v. Lyric Theatre Ltd. [
Central Bank v. Ellis (
Congreso del Partido, I [
Douglas, Heron & Co. v. Hair (
Dreyfus v. Inland Revenue Commissioners (
Forsyth (William) v. Hare (John) & Co.,
Godman v. Winterton (
Hart v. Emelkirk Ltd. [
Imperial Bank of Canada v. Motton (
Joachimson v. Swiss Bank Corporation [
Levermore v. Levermore [
National Bank of Greece and Athens S.A. v. Metliss [
Nissan v. Attorney-General [
Pooley v. Driver (
Potts, In re, Ex parte Taylor [
Salomon v. Salomon & Co. Ltd. [
Sheffield Corporation v. Barclay [
Telfair Shipping Corporation v. Inersea Carriers S.A. [
Trendtex Trading Corporation v. Central Bank of Nigeria [
Von Hellfeld v. E. Rechnitzer and Mayer Freres & Co. [
Walker v. Baird [
Willows v. Ball (
MOTIONS
By a notice of motion dated 9 December 1986, the applicants, Maclaine Watson & Co. Ltd., sought against the respondents, the International Tin Council (the “I.T.C.”) the following relief, viz. (1) An order that Michael Anthony Jordan of Shelley House, 3 Noble Street, London E.C.2 or some other fit and proper person might be appointed receiver by way of equitable execution over those assets of the I.T.C. comprising the right of the I.T.C. to be indemnified by contributions from member governments for its liabilities incurred to the applicants, for the purpose of satisfying the amounts due to them under the judgment entered in the Queen's Bench Division (Commercial Court), (1986 M. No. 5388) on 13 November 1986; (2) an order that the receiver be empowered to make formal demand on the member states of the I.TC to demand contributions from and/or to indemnify it for the liabilities incurred to the applicants; (3) an order that the receiver be granted liberty to apply for such further or other directions and orders as he might be advised; (4) all necessary or consequential directions and orders, including directions as to the hearing of the applications by the I.T.C. for orders that the applicants' motion be struck out and costs.
By a notice of motion dated 12 February 1987 (as amended), the I.T.C. moved that the application of 9 December by the applicants, be struck out or dismissed on the following grounds: (1) that it required determination of issues that were not justiciable in that the court, which had no jurisdiction to determine the existence or otherwise of the alleged assets over which receivership was sought, namely an alleged right or rights of action against member states of the I.T.C., which determination would involve the interpretation and construction of a treaty made between sovereign states. (2) The I.T.C. was immune from suit and legal process and, on the true construction of article 6(1) of the
To continue reading
Request your trial-
Vendort Traders Inc. Appellant v Evrostroy Grupp LLC Respondent [ECSC]
...to enforce the award before relying on it for the purpose of serving a statutory demand or presenting a winding up petition. In Re International Tin Council [1987] Ch. 419 applied; Section 28 of the Arbitration Act Cap. 6 Revised Laws of the Virgin Islands 1991 distinguished. 2. For a co......
-
Eckhardt Marine GmbH v BCCI (Overseas) Ltd
...... and BANK OF CREDIT AND COMMERCE INTERNATIONAL (OVERSEAS) LIMITED . T.W.G. Lowe and Mrs. ...60 Ind. App. 211; A.I.R. 1933 Privy Council 150. (4) International Tin Council, In re , ... to a non-resident as the beneficiary is Unistar, a company operating in ......
-
ACC Loan Management Ltd v Rickard
...in Holmes v. Millage. That judgment in the context of this issue was analysed carefully by Millett J. in MacLaine Watson & Co. v. ITC [1988] Ch. 1 where the very same passage from Lindley L.J. in Holmes v. Millage referred to in Graham was relied upon in argument by Counsel (Mr Alexander),......
-
ACC Loan Management v Rickard
...Brothers [1894] 1 Q.B. 801, 809/810 (CA); Morgan v. Harte [1914] 2 KB 183, 189 CA; MacLaine Watson & Co. v. International Tin Council [1988] Ch. 1 (affirmed) [1989] Ch. 253 (CA). He held that these decisions were based upon what he considered was a misunderstanding of the North Railway ......
-
AN ACCOUNT OF ACCOUNTS
...loss (Transfield Shipping v Mercator Shipping[2009] 1 AC 61). 118 Lambert v Lewis [1982] AC 225; Well-Blundell v Stephens[1920] AC 956. 119[1988] Ch 1. 120Bristol & West Building Society v Mothew[1988] Ch 1 at 17, endorsing Bank of New Zealand v New Zealand Guardian Trust Co Ltd[1999] 1 NZL......
-
Self–Monitoring, Self–Policing, Self–Incrimination and Pollution Law
...in thewater sector. On the history of water pollution regulation, see generally Howarth, Water PollutionLaw (London: Shaw and Sons, 1988) ch 1.14 See Royal Commission on Environmental Pollution, Fifth Report, Air Pollution Control: AnIntegrated Approach (1976) Cmnd 6371, para 263.March 1997......
-
Concurrent Duties
...and A. Gold (eds), Contract, Status, and Fiduciary Law (Oxford: OUP, 2016).76 n 19 above, 964.77 Bristol and West Building Society vMothew [1988] Ch 1 (CA).78 Target Holdings Ltd vRedferns (a firm) [1996] AC 42 (HL).79 n 3 above.80 See A. Burrows, A Restatement of the English Law of Contract......
-
THE RATIONALISATION OF DIRECTORS’ DUTIES IN SINGAPORE
...at pp 16—17 of the draft at . 4 See eg C Wood, Boom and Bust: The Rise and Fall of the World’s Financial Markets (Sidgwick & Jackson, 1988) ch 1. 5 Supra n 2. For its interaction with the proper purpose rule, see Mok C L, “Rethinking Directors’ Duties: An Analysis of the Proper Purpose Doct......
-
S.D. Const. art. XIV § 2 Government of Charitable and Penal Institutions
...as the Legislature shall provide. Notes:History: Amendment proposed by SL 1913, ch 133, rejected Nov., 1914; amendment proposed by SL 1988, ch 1, approved November 8,...
-
§ 2. Government of Charitable and Penal Institutions
...as the Legislature shall provide.Notes:History: Amendment proposed by SL 1913, ch 133, rejected Nov., 1914; amendment proposed by SL 1988, ch 1, approved November 8,...
-
§ 1. Charitable and Penal Institutions
...and a reform school for juveniles. Notes:History: Amendment proposed by SL 1943, ch 264, approved Nov., 1944; amendment proposed by SL 1988, ch 1, approved November 8,...
-
S.D. Const. art. XIV § 2 Government of Charitable and Penal Institutions
...as the Legislature shall provide. Notes:History: Amendment proposed by SL 1913, ch 133, rejected Nov., 1914; amendment proposed by SL 1988, ch 1, approved November 8,...