Views
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
Launch of the Bahrain International Commercial Court
The Bahrain International Commercial Court (BICC) was launched on 5 November 2025. It joins the long established Dubai International Financial Centre Courts, Abu Dhabi Global Market Courts and Qatar International Court and Dispute Resolution Centre in the Middle East as a specialist court devoted to resolving international commercial disputes and operating under special procedural rules.
The BICC was developed in partnership with the Singapore International Commercial Court (SICC). It shares many key features with the SICC such as a multinational bench, foreign counsel representation and use of the English language in proceedings. Of particular note is the appeal mechanism for BICC judgments; as discussed previously here, appeals from the BICC will be heard by the International Committee of the SICC.
ASADIP Conference Rio 2025 (report) and San Salvador 2026 date (20-23 October)
The ASADIP conference is an annual highlight of the discipline. The reports from the 2025 conference in Rio de Janeiro are now available, in English, Spanish, and Portuguese, here
And the location and date for the 2026 have been set for San Salvador, El Salvador, 20-23 October. See you there.
Short report: Conference on Sustainable Global Value Chains and Private International Law
On 17 October 2025, the EBS Law School in Oestrich-Winkel, Germany, hosted a conference Sustainable Global Value Chains and Private International Law. The conference was organised by Professors Veronica Ruiz Abou-Nigm (Edinburgh Law School) and Michael Nietsch (EBS Law School) as part of the Law Schools Global League Sustainable Global Value Chains Project (see also here).
The conference brought together a number of scholars specialised in private international law, company law, and contract law to discuss the role of private law and private international law in social, economic, and environmental sustainability within global value chains.
Keynote
Ralf Michaels (Max Planck Institute for Comparative and International Private Law, Hamburg, Germany) delivered the keynote lecture entitled “European Law for Global Value Chains – Human Rights Advancement or European Imperialism?” Professor Michaels addressed this question from a historical perspective. He related the historical roots of existing sourcing practices to contemporary supply chains, drawing on a wealth of theoretical insights. He further reflected on the conceptualisations that remain necessary for the legal discipline to contribute to addressing economic inequalities in contemporary global sourcing practices facilitated by interconnected chains of contracts.
After the keynote, several scholars provided insights into their current research, which resonated with various aspects of the keynote lecture. Read more