SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

1977 MarsdenLR 185

FEDERAL COURT (PENANG)

LEE HUM HOE AG LP, J, ALI AG, CJ (MALAYA), RAJA AZLAN SHAH, FJ


BANGKOK BANK LTD
versus
WIEL BROTHERS COTTON INC

CIVIL APPEAL NOS. 33 & 34 OF 1976

Decided On : 05-19-77

Advocates:
For the appellant - Lim Kean Chye; Lim Kean Chye & Co. For the respondents - R. Kumarasamy (Miss); Zain & Co.

JUDGMENT

Lee Hun Hoe AG LP (read by Raja Azlan Shah FJ) :

This appeal is against the decision of the learned judge in respect of certain orders made in connection with two cases which, for convenience, would be dealt with together. The main ground is against the issuance of the injunction and the writ of seizure and sale. Also, for convenience, any reference to the Appeal Record will be toNo. 33 of 1976 except otherwise stated.

Plaintiffs/respondents ("Wiel Bros") are Wiel Bros Cotton Inc (also trading as HH Lawler Co.), a company incorporated under the laws of the State of Delaware, USA and having their principal place of business at PO Box 100 Montgomery, Alabama, USA. Defendants ("Thai Industries") are Thai Industries

Development Co. Ltd. of 264 Raja Wongse Road, Bangkok, Thailand. Appellants/Intervenors ("Bangkok Bank") the Bangkok Bank Ltd had, on the application of "Thai Industries" opened an irrevocable commercial letter of credit for US$158,733 in favour of Newcot Ltd. of Switzerland for shipment of 939 bales of raw cotton from Germany to Bangkok. The cotton was shipped by ss. "Havelland" from Brema, Germany to Bangkok under a bill of lading dated 28 August 1975 "to the order of Bangkok Bank Ltd." "Wiel Bros " and "Thai Industries" had entered into four agreements in 1973 in England for the purchase and sale of cotton. Following certain differences arising out of the agreements certain arbitrators were duly appointed under the agreements. The arbitrators made four awards on various dates in 1975 in favour of "Wiel Bros". Pursuant to s. 26 of the English Arbitration Act, 1950 "Wiel Bros" applied for leave to enforce the awards in the same manner as a judgment or order to the same effect. This was granted and thus "Wiel Bros" obtained judgment against "Thai Industries" in the Queen's Bench Division of the High Court of Justice in England on 25 September 1975 in respect of the four awards totaling US$147,432 with costs and interests amounting to STG1,100. Kowing that ss. "Havelland" would arrive on or about 30 September 1975 at Penang, carrying, among other goods, 939 bales of cotton alleged to be the property of "Thai Industries" "Wiel Bros" sought registration of the English judgment in the High Court in Malaya pursuant to s. 4 of the Reciprocal Enforcement of Judgments Act, 1958.

So on 29 September 1975 "Wiel Bros" applied ex parte to the High Court at Penang for four orders which were granted. These orders were for (i) registration of the English judgment; (ii) service out of jurisdiction on "Thai Industries"; (iii) service of notice of registration of the English judgment on "Thai Industries"; and (iv) an injunction restraining "Thai Industries"; their servants or agents or any person or persons currently in possession, custody or control of the 939 bales of cotton on board ss. "Havelland" expected to reach the port of Penang.

When the process server tried to serve the injunction order on the captain of the ss. "HavelIand" the latter refused to acknowledge receipt of the document and stated that the order had no effect on him. As a result "Wiel Bros" applied on 1 October 1975 for an order to the effect that ss. "Havelland" could not sail out of Penang as long as the captain failed to comply with injunction order in unloading the 939 bales of cotton from the vessel. The injunction order was subject to "Wiel Bros" giving the usual undertaking as to damages.

On 18 October 1975 the shipowners were given leave to intervene but their application to set aside the orders obtained on 29 September 1975 was dismissed. They had taken no further interest in the proceedings. On 20 October 1975 "Wiel Bros" tookout a writ of seizure and sale in respect of the 939 bales of cotton on board the vessel. The next thing that happened was that "Bangkok Bank" came on the scene. On 24 October 1975 they took out a summons in chambers (page 78 of Appeal Record) and applied for the following orders that:-

(1) The applicant may be given le

Click Here to Read the rest of this document
1
2
3
4
5
6
7
8
9
10
11
SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top