PetroSaudi Oil Services Venezuela Ltd v Clyde and Co LLP 2021 EWHC 444 Ch - 26 February 2021
This case is about some US$325m ("the Funds") held on trust by the Defendant firm ("Clyde") for the Claimant ("POS") in a dollar bank account in London. The Funds came under the control of Clyde as escrow agent in the course of an international arbitration between POS (a Bajan company) and PDVSA Servicios SA ("PDVSA") (a Venezuelan company). Clyde acted for POS as solicitors in the arbitration. They agreed to hold specified amounts as escrow agents (subject to information barriers separating those acting for POS and those acting as escrow agents) under the terms of a tri-partite agreement subject to the orders of the arbitral tribunal ("the escrow agreement"). The tribunal made a final award in favour of POS on 17 July 2020 for an amount greater than the monies then held in escrow and ordered Clyde to pay the net amounts after payment of escrow fees (i.e. the Funds) to POS.