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Tesseract: Don’t Over-React! The High Court of Australia, Proportionate Liability, Arbitration, and Private International Law
By Dr Benjamin Hayward
Associate Professor, Department of Business Law and Taxation, Monash Business School
X: @LawGuyPI, @MonashITICL
On 7 August 2024, the High Court of Australia handed down its long-awaited decision in Tesseract International Pty Ltd v Pascale Construction Pty Ltd [2024] HCA 24. The dispute arose out of a domestic commercial arbitration seated in South Australia, where the Commercial Arbitration Act 2011 (SA) is the relevant lex arbitri. That Act is a domestically focused adaptation of the UNCITRAL Model Law on International Commercial Arbitration (with its 2006 amendments).
The respondent to the arbitration sought to rely upon proportionate liability legislation found in the Law Reform (Contributory Negligence and Apportionment of Liability) Act 2001 (SA) and in the Competition and Consumer Act 2010 (Cth). The High Court was asked to determine whether those proportionate liability regimes could be applied in the arbitration. A very practical difficulty arose here, reflected in Steward J noting (in dissent) that the High Court was ‘faced with an invidious choice’: see [228]. Were the proportionate liability laws not to apply in the arbitration, the respondent might find themselves liable for 100% of the applicant’s loss, when they would not be liable to that same extent in court proceedings applying the same body of South Australian law. But were the proportionate liability laws to apply, the applicant might find themselves able to recover only a portion of their loss in the arbitration, and might then have to then pursue court proceedings against another third party wrongdoer to recover the rest: given that joinder is not possible in arbitration without consent. Read more
First Thai Monetary Judgment Enforced in China, Highlighting Presumptive Reciprocity in China-ASEAN Region
This post is kindly provided by Dr. Meng Yu, lecturer at China University of Political Science and Law, and co-founder of China Justice Observer.
Key Takeaways:
- In June 2024, the China-ASEAN Free Trade Area Nanning International Commercial Tribunal under the Nanning Railway Transportation Intermediate Court in Guangxi ruled to recognize and enforce a Thai monetary judgment (Guangxi Nanning China Travel Service, Ltd. v. Orient Thai Airlines Co., Ltd. (2023) Gui 71 Xie Wai Ren No. 1).
- Apart from being the first case of enforcing Thai monetary judgments in China, it is also the first publicly reported case confirming a reciprocal relationship based on “presumptive reciprocity”.
- The Chinese court’s confirmation that “presumptive reciprocity”, as outlined in the Nanning Statement, is a form of mutual consensus between China and ASEAN countries helps to promote the circulation of judgments within the China-ASEAN region.
News
LEX & FORUM Vol. 3/2024
EDITORIAL
In an increasingly globalized world—and especially within the framework of a unified market founded on economic freedom and the free movement and establishment of individuals and businesses—international sales have emerged as a cornerstone of the legal and economic order. They are not merely instruments for the acquisition of assets across borders; they also function as a key mechanism for fostering business growth and enhancing competitiveness through the expansion of commercial activity and client networks.
Given their fundamental role, international sales are subject to a broad and multi-layered legal framework at the international level. This complex regulatory landscape gives rise to a number of interpretative and practical challenges, particularly with regard to the interaction and prioritization of overlapping legal norms. Read more
Call for Papers: “Tariffs: Emerging challenges in global trade” by the Journal of Law, Market & Innovation (JMLI)
The Journal of Law, Market & Innovation (JLMI) welcomes submissions for its first issue of 2026.
The Call for Papers for this second issue is devoted to Tariffs: Emerging challenges in global trade.
You can find the call with all the details at this link.
Prospective articles should be submitted in the form of an abstract (around 800 words) or draft articles to submissions.jlmi@iuse.it within 10 July 2025. The publication of the issue is set for the end of March, 2026.
For further information, or for consultation on a potential submission, you can contact us by email at editors.jlmi@iuse.it.
Seminar: Child marriage: root causes and questions of recognition, 5 June
At the occasion on 5 June of the PhD Defence of Leontine Bruijnen on How can Private International Law bridge the Gap between the Recognition of Unknown Family Relations such as Kafala and Child Marriage for Family Law and Migration Law Purposes? , we are organising an expert seminar at the University of Antwerp and online:
Child marriage: root causes and questions of recognition:
11.00: Welcome and introduction by Thalia Kruger, University of Antwerp
11.10: The Role of Customs and Traditions in Addressing Child Marriages in Tanzania: A Human Rights-Based Approach, by Esther Kayamba, Mzumbe University and University of Antwerp
11.25: The link between climate change and child marriage in Tanzania, by Agripina Mbilinyi, Mzumbe University and University of Antwerp
11.40: Socio-cultural factors that Sustain Child Marriage at Quarit Wereda, Amhara Region, Ethiopia by Yitaktu Tibetu, Human Rights Lawyer, Senior Gender Adviser and councillor psychologist
12.00: Perspective from Europe by Bettina Heiderhoff, University of Münster and Trui Daem, PhD researcher Ghent University
12.20: Debate and Q&A
12.50: End
To register, please contact Thalia Kruger