Privy Council recommends stay of winding up application in favour of arbitration

Trevor Withane of Ironbridge Legal reviews a recent case that provides useful guidance about the interplay between an arbitration agreement and the exercise of a court’s powers and discretion to wind up a company on just and equitable grounds, noting that in this case the Privy Council held that an arbitration agreement does not amount to a contractual prohibition against the commencement of winding up but the court must grant a stay of the winding up for matters falling within the arbitration agreement to first be decided.

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