Latham & Watkins review the March 2017 UK Supreme Court’s decision in the matter concerning the Nigerian National Petroleum Corporation, explaining the limits to orders for security when resisting enforcement of a foreign award under the New York Convention. The Supreme Court decided that the Nigerian National Petroleum Corporation could not be required to provide monetary security as a condition for resisting enforcement of a Nigerian arbitral award made in favour of IPCO (Nigeria) Limited. The authors note that the Supreme Court confirmed that the English courts do not have jurisdiction under section 103(5) of the English Arbitration Act 1996 to compel a party to provide security as a condition for resisting enforcement of an award under the New York Convention unless an adjournment of the English enforcement proceedings is sought pending resolution of an application to set aside or suspend the award in the courts of the seat.
About Phillip Rompotis
Phillip practices as a barrister and arbitrator in Hong Kong. He has over 25 years’ litigation and arbitration experience in commercial disputes relating to construction & engineering, financial services, joint venture & shareholders agreements, technology, trusts, property and landlord & tenant. He is a Fellow of the Chartered Institute of Arbitrators, the Singapore Institute of Arbitrators, the Malaysian Institute of Arbitrators, and a member of various lists/panels of arbitrators.View