Técnicas Reunidas SA v Andrew

Técnicas Reunidas SA (the appellant) appealed to the Court of Appeal of New South Wales against a decision of the primary judge who had dismissed its application for an injunction. The appellant sought to prevent a law firm from acting for a subcontractor in an ICC arbitration, alleging a conflict of interest arising from the firm's prior retainer by the appellant in a related building dispute. The subcontractor was the respondent.

The Court of Appeal was required to determine whether the appellant's earlier retainer of the law firm had been terminated or abandoned. Further, the Court had to consider whether the firm had demonstrated that there was no real risk of disclosure of confidential information obtained during the earlier retainer, and whether the inherent jurisdiction of the court to protect the administration of justice and its appearance supported the grant of an injunction.

The Court of Appeal dismissed the appeal, upholding the primary judge's decision. The reasoning focused on the principles of contract discharge by inferred agreement and abandonment, noting that an express offer and acceptance were not necessary for such a discharge. The Court found that the appellant had not responded to overtures from the firm to act in the arbitration, and that the firm had implemented information barriers to manage any potential conflict. The Court concluded that the appellant had not established a sufficient basis for an injunction, either on the grounds of conflict of interest or the inherent jurisdiction of the court. The appeal was dismissed with costs.