Republica Democratica de Timor Leste v Lighthouse Corporation Ltd [2019] VSCA 290

Facts: P (Lighthouse Corporation) brought claims against East Timor in VIC, alleging breach of fuel supply agreement. East Timor had foreshadowed that its defence was to argue there was no contract. The proceedings were brought in VIC so law of the forum (VIC law) was applied to determine incorporation and formation of the contract.

Held: The court acknowledged that it is possible that the governing law of the contract could have been East Timor law, even though VIC law was relevant to the issue of formation and incorporation. As VIC law was applied to contract formation, this weighed against staying proceedings.