In an interesting recent decision where Clyde & Co acted for
the successful defendant, the Commercial Court reconfirmed its
reluctance to interfere with the parties' choice of arbitration
as the dispute resolution medium, even where the very existence of
the arbitration agreement (and associated contract) was in
dispute.
Facts
The claimant alleged that the parties had entered into a binding
commodities sale and purchase contract which contained a London
arbitration clause. No shipments took place under the contract.
The claimant sought to pursue a claim against the defendant
under the contract, in London arbitration; however, the defendant
rejected the claimant's request to accept service of an
arbitration notice at its London solicitors' office, and denied
that there was a valid contract. It took the position that if, or
when, the claimant commenced London arbitration, it would contest
the arbitrator's jurisdiction. For its part, the defendant had
no claim