ARABIAN ECONOMY AND THRIFT TRADING COMPANY v. HUSBANDS' YACHT YARD (CRACKNORE), SOUTHHAMPTON, LTD., AND R. A. LISTER (MARINE SALES), LTD.

[1951] 1 Lloyd's Rep. 443

CHANCERY DIVISION.

Before Mr. Justice Wynn-Parry.

Practice - Consent order - Breach of undertaking - Contempt of Court - Remedies - Contract entered into between plaintiff and defendant companies whereby defendants agreed to carry out certain reconstruction work to plaintiffs' landing craft - Payment to be made by plaintiffs against monthly accounts tendered by defendants - Dispute as to certain charges - Delivery of vessel withheld by defendants until charges met - Action brought by plaintiffs claiming delivery and damages for wrongful detention - Settlement of action - Consent order made whereby (1) sum was to be paid into account in joint names of parties' solicitors; (2) plaintiffs undertook to institute arbitration proceedings if unable to agree defendants' accounts - Failure by plaintiffs to agree defendants' accounts or institute arbitration proceedings - Motion brought by defendants that plaintiffs were in breach of the Court order and that sum should be paid to defendants out of joint account - Defendants informed by letter from plaintiffs that in case they had in fact, though unintentionally, committed a breach of order, they were at once instituting arbitration proceedings - Whether defendants had sought proper remedy and/or were justified in proceeding with motion.