Under a series of cross guarantees, equipment was supplied to Iraq. Final payment was due on delivery of the final equipment. Before it could be delivered, the prohibitions came into effect against satisfying or making any claims in connection with transactions in matters covered by the UN resolution. The company went into liquidation, and sought claims under the guarantees from the bank. The bank agreed liability if it could itself be excused liability to the Iraqi company. It was held that the intention was to create a permanent prohibition. To hold otherwise would risk reviving contractual obligations which could no longer be performed. The ban might end but prohibition on the enforcement of earlier contracts must remain.
Bingham, Steyn, Hope, Hobhouse, Scott L
Times 02-Jul-2001, Gazette 23-Aug-2001, [2001] UKHL 31, [2001] 1 WLR 1462, [2001] 3 CMLR 14
Bailii, House of Lords
Council Regulation (EEC) 3541/92
England and Wales
Citing:
Appeal from – Shanning International Limited (In Liquidation) v Lloyds TSB Bank Plc (Formerly Lloyds Bank Plc) Part 20 and Rasheed Bank and Sbg Holdings Limited Part 20 CA 25-May-2000
. .
At first instance – Shanning International Ltd v Lloyds TSB Bank plc; Lloyds TSB Bank plc v Rasheed Bank and another ComC 17-Dec-1999
The parties were linked together by a series of bonds, deposits, and guarantees and indemnities which had been designed to enable trade with a customer in Iraq. The Regulation operated to prevent any claim being made under the bond, and therefore . .
Cited – Litster and Others v Forth Dry Dock and Engineering Co Ltd HL 16-Mar-1989
The twelve applicants had been unfairly dismissed by the transferor immediately before the transfer, and for a reason connected with the transfer under section 8(1). The question was whether the liability for unfair dismissal compensation . .
Cited – William Dowling v Ireland, Attorney General and Minister for Agriculture and Foods ECJ 22-Oct-1992
Europa The combined provisions of Articles 3(3) and 3a of Regulation No 857/84, as amended by Regulation No 764/89 and subsequently by Regulation No 1639/91, do not provide for any possibility of granting a . .
Lists of cited by and citing cases may be incomplete.
Updated: 03 September 2021; Ref: scu.89187
