UNITED STATES 17 July 2020 Psara Energy

United States District Court, Eastern District of Texas, Beaumont Division, 17 July 2020, NO.1:18-CV-00178-MAC

(Psara Energy, Ltd. v. Space Shipping, Ltd. et al.)

17 - 07 - 2020

UNITED STATES 17 July 2020 Psara Energy

Jurisdiction United States
Summary

The defendants did not oppose confirmation of the award, but disagreed as to the impact of the award on the plaintiff’s claims. The Magistrate Judge explained that in order to confirm a foreign award in a court of the United States, the parties had to follow the proper procedure pursuant to the New York Convention. In the present case, the plaintiff had complied with its obligations by submitting an authentic copy of the award (translated if necessary) and the original agreement to arbitrate. The defendants, as the party resisting confirmation, had the burden of demonstrating one of the grounds for refusal listed in the Convention, but had not invoked any of those grounds. Hence, the Judge recommended that confirmation be granted. As to the remaining question of the impact of the award on the plaintiff’s claims, the Judge recommended to find that because the parties clearly and unmistakably agreed to arbitrate arbitrability, it was within the power of the arbitral tribunal to decide that the plaintiff’s enforcement claims were not proper under English law and could not be arbitrated.

Related topics
201

The court discusses whether the dispute falls within the wording of the arbitration agreement; and whether claims in tort fall within the scope of the agreement.

Scope of arbitration agreement
500

The court discusses the overall scheme and/or pro-enforcement bias of the Convention.

Grounds for refusal of enforcement in general
UNITED STATES 17 July 2020 Psara Energy