The Prestige Saga: Clarifications On Enforcement And State Immunity From Injunctions

In the latest decision in the Prestige saga, the English Court of Appeal has made two notable findings: it has refused to enforce a Spanish judgment on the basis that it would be contrary to public policy because it conflicts with a prior arbitration award; and it has confirmed that an arbitral tribunal had no power to grant anti-suit injunctions against Spain and France, in circumstances where Spain and France had not consented to the granting of injunctive relief.

State immunity from injunctions granted by arbitral tribunals

This decision is the latest in a long-running dispute arising out of an oil spill from a tanker, the Prestige, which polluted the coasts of Spain and France in 2002. This resulted in claims by Spain and France against the insurers of the owners of the Prestige. Spain has pursued those claims in Spanish litigation, resulting in a USD 1 billion judgment in its favour, while the insurers argue that the claims should be decided in