In OCBC Wing Hang Bank Ltd v Kai Sen Shipping Co Ltd
[2020] HKCFI 375, the Hong Kong Court of First Instance
(Court) dismissed a summons for a stay of
proceedings in favour of arbitration due to the impermissibility of
incorporating arbitration agreements from a charterparty. The Court
declined to stay its proceedings despite the Respondent having
filed a Notice of Arbitration in respect of the same dispute,
because the Notice included a clear reservation of rights to
litigate.
Background
The Applicant, Kai Sen is the owner of the vessel "YUE YOU
903" and carrier of cargoes described in four tanker bills of
lading dated 12 April 2018. The cargoes were to be shipped from
Dumai, Indonesia to Huangpo, China and the bills of lading were
negotiable bills marked "to order".
