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Anti-suit injunctions: English court finds contempt for continued foreign proceedings; de facto controller personally liable; real risk of imprisonment for breaching arbitration-supporting orders

Published on: 22 January 2026

Published by a LexisNexis Arbitration expert
Legal News
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Article summary

V Ships Ltd v Luna Management Corporation [2025] EWHC 3329 (Comm) What are the practical implications of this case?

This ruling carries significant practical weight for arbitration practitioners advising on the fallout of an anti‑suit injunction in the English courts. It clarifies how the court will respond when its support for arbitration is ignored.

  • The court confirmed that contempt proceedings are an effective and powerful means of enforcement when a party intentionally disobeys orders made to support arbitration, operating as a credible sanction. Though contempt is not commonly invoked, the court indicated that sustained, flagrant, or cynical breaches will justify deploying it.
  • The case also makes plain that company structure will not protect those who truly direct non‑compliance. The court was prepared to hold an individual in contempt who was not a formal director but acted as the company’s ‘directing mind and will’. This carries significant ramifications for advising shareholders, managers and beneficial owners engaged in arbitration‑related litigation, particularly in shipping, where corporate set‑ups are often informal or opaque.
  • Finally, the judgment stresses the grave consequences of flouting English court orders. The court explicitly considered custodial sentences a realistic prospect, underscoring that contempt penalties are not merely symbolic, but may in practice...

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