Queen’s Bench Division
Etihad Airways PJSC v Flöther
[2019] EWHC 3107 (Comm)
2019 Oct 22, 23; Nov 18
Jacobs J
ContractConstructionJurisdiction clauseParties agreeing facility agreement containing asymmetric jurisdiction clause entitling borrower to sue lender in England only but entitling lender to bring proceedings in courts of any competent jurisdictionLender also providing borrower with comfort letter containing no jurisdiction provisionBorrower starting proceedings against lender in Germany under comfort letterLender subsequently starting mirror proceedings against borrower in EnglandBorrower applying for stay of English proceedingsWhether jurisdiction clause extending to dispute arising in connection with separate document to that containing jurisdiction clauseWhether dispute arising in connection with “particular legal relationship” between partiesWhether dispute arising within scope of jurisdiction clause Parliament and Council Regulation (EU) No 1215/2012, art 25
Conflict of lawsJurisdiction under European Union RegulationExclusive jurisdictionParties subject to agreement containing asymmetric jurisdiction clause entitling borrower to sue lender in England only but entitling lender to bring proceedings in courts of any competent jurisdictionBorrower starting proceedings against lender in GermanyLender subsequently starting proceedings against borrower in EnglandBorrower applying for stay of English proceedingsWhether asymmetric jurisdiction clause conferring “exclusive jurisdiction” on English courtsWhether rule requiring court second seised to stay proceedings disappliedWhether stay to be granted Parliament and Council Regulation (EU) No 1215/2012, arts 29, 31(2)

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