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HIGH COURT APPLIES ABUSE OF PROCESS DOCTRINE TO ARBITRATION

Michael Fealy and Nick Sloboda acted for Mr Sinclair and Sokol in their successful application to strike out a claim made against them by Michael Wilson & Partners ("MWP").

Teare J struck out the claim on the grounds that it was an abuse of process because it comprised a collateral attack upon an arbitration award by MWP.

In an arbitration between MWP and Mr Emmott, the tribunal had decided that Mr Emmott had not breached his fiduciary duties to MWP. In the High Court action, MWP alleged that Mr Sinclair and Sokol had dishonestly assisted Mr Emmott's breaches of fiduciary duty. Teare J held that in the circumstances that was an abuse of process.

It is understood that Teare J's decision is the first occasion on which an English court has applied the abuse of process doctrine to a collateral challenge to an arbitration award.

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