SIMIC

Hong Kong's Court of Appeal dismissed the latest request by China Merchants Port Holdings seeking permission to file a second appeal before the Court of Final Appeal, against its previous decision that DP World's suit against the company should be heard before Hong Kong Courts, and not the courts of Djibouti.

China Merchants argued that the case should be heard by the Djibouti courts, despite Hong Kong being its home jurisdiction. The court ordered China Merchants and the Republic of Djibouti to pay legal costs for the action.

DP World and joint-venture Doraleh Container Terminal are bringing claims against China Merchants, arguing that it induced the government of Djibouti to expel DP World, with its exclusivity rights, and hand over the Doraleh terminal to the Chinese company.

In January, the London Court of International Arbitration also ruled in DP World's favour, awarding it damages of US$200 million from Djibouti for the period between February 23, 2018 to December 31, 2020. Total damages now owed to DP World are some $686.5 million, plus accruing interest

That was the eighth decision by an international court or tribunal in favour of DP World in its ongoing dispute.