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MARTELL'S
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V
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THE HONGKONG DAILY PRESS, SATURDAY, MAY 24TU, 1924
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STATUS OF KELANTAN. DUFF DEVELOPMENT APPEAL DISMISSED.
The House of Lords on April 10th dis missed the appeal of the Duff Develop- ment Company in their protracted liti gation with the Government of Kelantan.
Their Lordships held that the state-
went of the Colonial Office that Kelantan is an independent sovereign State must be accepted as Goal anch that the Courts of Britain had no power to enforce orders maile by, then against the Sultan-and Government of Kelantan
00. “They also found that the Government of Kelantan had not waived their defence of an independent sovereign State, in connection with the litigation,
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JUDGMENT.
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appeal should be dismissed, said Vatcel OBTAINABLE EVERYWHERE. (Droit des Gens. Ed. Pradier-Fodéré, 1863, Vol. 1, Chap. L) defined a foreign State as a nation which governed itself by its own authority and laws without dependence on any foreign Power; but he also laid it down that a State might, without; censing to be a sovereign"State, he bound to another more powerful! State by an unequal allizace. No doubt the engagement entered into by a Stato might be of such a character as to limit and quality, or even to destroy, the attributes of sovereignty, and independ- ence, and the precise pot at which sovereignty disappeared and dependence began might sometimes be difficult to determine. But where such a question. arosse it was desifable that it should be determined not by the Courts, which must decide pa legal principles only, but by the Government of the country, which was entitled to have regard to all the circumstances of the case. Indeed, the recognition or non-recognition by the British Government of a State as a sovereign State had itself a close bearing on the question whether it was to be re- garded as a sovereign in our Courts.
COLONTAL OPTICE REPLY...
In the present case the reply of the Secretary of State showed clearly that, notwithstanding the engagement entered into by the Sultan of Kelantan with the British Government, that Government continued to recognise the Sultan as al sovereign and independent ruler, and that His Majesty did not exercise ar claim any rights of sovereignty or jurisdiction ever that country. I after this definite statement a different view: were taken by a British Court an undesirable conflict might arise, and, in his Lordship's opin- ion, it was the duty of the Court accept the statement of the Secretary of State, thus clearly and positively made, as con clusive on the point...
It had been argued on behalf of the appellant company that, assuming the Sultan of Kelantan to be a sovereign ruler, he had waived his sovereignty and submitted to the jurisdiction of the High Court, and that in two ways," namely, first by asserting to the arbitration clause in the deed of 1919 and, secondly,
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ment of Kelantan, by agreeing to the submission which became an order of the
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by applying to the Court to set aside should they consider that the Govern- the award of the arbitrator.
:
QUESTION OF SUBMISSION.
Then, had the respondent, by agreeing Court and, faking the course they did, to the arbitration clause in the deed were bound to treat the matter as one, of 1912, submitted to the jurisdiction so proceeding in which the sovereign State far as segarded an application to the had waived its privileges anal in which Court to enforce the award? But the justice could alone, he done by making question also remained whether this the law applicable equally to both parties. agreement to submit was equivalent to an actual submission. On full, considera tion his Lordship was satisfied that it
was.
There remained the question whether the Sultan, by applying under Section 11 of the Act to set aside the award, im- pliedly submitted to an application under Section 12 of the Act to enforce it. To his Lordship's opinion he did not.. By his application under Section 11 be endeavoured to get rid of the award and left it to the Court to decide his rights in that respect; But the application to enforce the award was a new proceeding and, though connected with the warber application, was distinct from it. Io his Lordship's opinion that argument also failed.
Viscount Finlay and Lords Dunedin and Summer concurred.
LORD CARSON'S DISSENTS. Lord Carson, i dissenting said he confessed that if it was open to him to <sregard the statements contained in the letter from the Secretary of State for the Colonies that Kelautan is an independent State and the present Sultan is the present sovereign ruler thereof " he would find great dificulty in coming to that concfasion of fact, having regard to the terms of the documents enclosed in the letter from the Secretary of State. It was, in his Lord Carson's) opinion, difheult to find in those documents the, essential attributes of independence and sovereignty in accordance with the tests laid down by the exponents of inter- national, law. He Tailed to see how "the principles of doing complete justice, where a Sovereign had waived his privi Jezes, could be carried out if it was to be held, as it had been held apparently. in this case, that at each step where it was necessary to invoke the assistance of the Court the sovereign power could claim such assistance, but could, when it was demanded by the other party, raise as a defence that he was protected by his sovereignty. How could it he said that when the act of the sovereign power bad invoked the benefits of the procedare devised by the laws of this country for enforcing its claims or settl ing its disputes international comity, which induces every sovereign State taj respect the independence and dignity of Any other sovereign State," required that our Courts should lend themselves to such palpable injustice as to refuse mutual relief to hoth parties concerned t
He did not think they were entitled to consider cuch stop taken for the pur pose of enrrying out the proceedings necessary for making the award effective as a separate invocation of the jurisdie tion of the Court, which required a separate sub-mission by the sovereign State to give it jurisdiction. Rather
(Coulinsica on next column)
The appeal was dismissed, with costa against the company, such costs to be set off against any sum which might be owing by the respondent Government to the company.
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