The Saudi Prince - Q.B.D. (Adm.Ct.) Sheen J.) - 28 May 1982

Whether arrested vessel beneficially owned by person liable in personam - Lifting the veil of incorporation

In 1976 a cargo of ceramic tiles being carried from Torre Annunziata to Jeddah in the ship Al Dhahran suffered damage before it was delivered. At that time, the Al Dhahran was owned by a Mr. Orri, an Arabian businessman who traded in Jeddah under the business name Saudi Europe Line (SEL). On 24 August 1979, the owners of the damaged cargo arrested the vessel Saudi Prince , which appeared from the Register Book published by Lloyd’s Register of Shipping, to be owned by SEL. The plaintiff cargo owners contended that at the time when the action was brought, Saudi Prince was beneficially owned as respects all the shares therein by Mr. Orri and that they were accordingly entitled to invoke the Admiralty jurisdiction of the High Court by virtue of section 3(4) of the Administration of Justice Act 1956.