DCC 83/1996
Type
Case
Court
Dubai Court of Cassation
Jurisdiction
Dubai
Taxonomy
Admiralty, Shipping & Navigation, Jurisdiction & Choice of Law
Copyright
LexisNexis
Decision date
11 Jan 1997
Catchwords
Bunkers – Maritime Debt – Shipping – Jurisdiction – Court – Contract – Arrest Order – Attachment
This case involved a ship which had been arrested for failure to pay a maritime debt for the supply of bunkers. Under the agreement between the parties the US had jurisdiction to hear disputes. However, it was confirmed the Dubai Court's did had jurisdiction as an attachment order for a maritime debt was a matter of public policy which the parties could not contract out of.
Background
A claim was brought ordering the owners and operators of a vessel to pay it US$ 74,362.50 for oil which had been supplied to the defendants. It was requested the court uphold an arrest order over the defendants' vessel. The defendants challenged jurisdiction as the agreement between the parties stipulated the US had jurisdiction to hear any disputes. The court of first instance dismissed the claim for lack of jurisdiction and lifted the arrest order. The claimant appealed and the appeal court held the Dubai courts did have jurisdiction and referred the claim back to the court of first instance. The defendants appealed by cassation arguing that the Dubai courts lacked jurisdiction.
Decision