Cases - Adyard Abu Dhabi v SDS Marine Services

Record details

Name

Adyard Abu Dhabi v SDS Marine Services

Date

[2011]

Citation

EWHC 848 (Comm)

Keywords

Contracts

Summary

Some of the points raised in City Inn, were considered in Adyard Abu Dhabi v SDS Marine Services. Adyard had commenced proceedings, arguing that SDS could not rescind two shipbuilding contracts, as SDS had caused delays to the project. Hamblen J sitting in the High Court (Queen's Bench Division, Commercial Court) had to determine whether SDS could rescind and reclaim the sums it had paid to Adyard.

Adyard cited the prevention principle, stating that SDS could not rely on the consequences of its own default, when rescinding the contracts. The court found against Adyard in that respect, but considered whether Adyard had proved that SDS caused the delay to the project in any event. In doing so, Hamblen J considered the judgments of both Lord Carloway and Lord Osborne in City Inn v Shepherd and stated that he did not consider (although it was not key to his decision) that the apportionment principle established in City Inn reflected English Law, seeming thereby to prefer the Malmaison approach.