Legal Spat Settled Mainly in Favour of Sembcorp Marine

MarineLink.com
Monday, July 29, 2013

The Singapore Court of Appeal was considering an appeal by Sembcorp against parts of an earlier High Court decision regarding PPL Holdings as follows:

(i) whether the Joint Venture Agreement between the Company and PPL Holdings is premised on equal shareholding and continues to apply in its entirety despite the Company’s ownership in PPL Shipyard Pte Ltd (PPLS) being raised from 50% to 85%; 

(ii) whether the Company was entitled to terminate the Joint Venture Agreement due to a breach by PPL Holdings and
(iii) certain resolutions and orders which are consequential on the findings relating to (i) and (ii)

The Court of Appeal in its judgment today ruled that certain provisions in the Joint Venture Agreement between Sembcorp Marine and PPL Holdings premised on equal shareholding no longer applied when Sembcorp Marine increased its shareholding from 50% to 85% in PPLS.   The Court of Appeal, however, did not agree that Sembcorp Marine had the right to terminate the Joint Venture Agreement. The cross appeal by PPL Holdings, including their claim to the right to appoint the Managing Director, was dismissed entirely.

The Court of Appeal also ruled that certain resolutions passed by Sembcorp Marine’s nominated PPLS directors were valid and not in breach of the provisions in the Joint Venture Agreement. The Sembcorp Marine nominated PPLS directors’ removal of Mr. Anthony Aurol as director of PPLS was also upheld to be valid.

The Court of Appeal also dismissed PPL Holding’s claim of minority oppression against Sembcorp Marine.

Sembcorp Marine says it is pleased with the outcome. Arising from the favourable decision of the Court of Appeal, it will have complete control of PPLS Board.

Maritime Reporter June 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Legal

House Subcommittee Hearing Highlights “Dismal State” of U.S. Icebreaking Capability

At the July 23, 2014, hearing of the House Subcommittee on Coast Guard and Maritime Transportation on “Implementing U.S. Policy in the Arctic” the committee chairman, Rep.

Iraqi Kurdish Oil Nears US Port Despite Concern in Washington

A tanker carrying crude oil from Iraqi Kurdistan is just two days away from arriving at a U.S. port, according to ship tracking satellites, despite Washington's

Maritime NZ Oil Spill Response Review: Submissions

Maritime New Zealand (MNZ) says it invites submissions on its draft updated New Zealand Marine Oil Spill Response Strategy 2014 (the draft Strategy). The draft Strategy, (available at http://bit.

Offshore Energy

New Crewboat Design for Offshore O&G Market

Upgraded crewboat design employs carbon-reinforced composite materials and is lighter, faster and more fuel-efficient than alternatives. Marine Oil Transportation

2,545 Candidates Vie for 11 Positions at Maersk Drilling

Maersk Drilling reported 2,545 applicants for the 11 MITAS engineer positions available within the company in 2014. The Maersk International Technology and Science Program,

GDI Awards N-KOM US$110-M Contracts

Gulf Drilling International (GDI) Limited, a subsidiary of Gulf International Services (GIS), the largest oilfield service company in Qatar, has awarded two contracts

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Security Maritime Standards Naval Architecture Navigation Salvage Ship Repair Shipbuilding / Vessel Construction Sonar
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1020 sec (10 req/sec)