Originally from International Arbitration Court Decisions - 3rd Edition

JUDGMENT OF THE ENGLISH COURT OF APPEAL RENDERED IN 2001 IN CASE [2001] EWCA Civ 1755

Subject Matter:
Costs incurred in foreign jurisdiction. A party was unable to recover costs in foreign proceedings. Whether party was entitled to recover foreign costs as damages for breach of exclusive jurisdiction clause in subsequent proceedings.

Finding:
In breach of an exclusive jurisdiction clause a party litigated in a jurisdiction, except occasionally, did not award costs in strike out proceedings. Therefore the party who successfully applied for the strike out did not ask for costs. Justice requires that the party should receive the damages it had suffered by reason of the breach. The situation is akin to malicious prosecution.

Parties:
Claimant: Union Discount Company Ltd.
Respondent: 1. Robert Zoller & others
2. Union Cal Ltd.

Place Of Court Proceedings:
London, England

Applicable Law:
English

EXTRACT FROM THE JUDGMENT
“In the Supreme Court of Judicature Court of Appeal (Civil Division) on Appeal from HH Judge Heppel Q.C. Sitting as a Judge of the High Court. 

“Before: Lord Phillips M.R., Lord Justice Schiemann and Lord Justice May.” Introduction