Arbitration Links - Linklaters
  • Year: 2018
  • Month: May
  • Jurisdiction: England & Wales

English Court of Appeal considers “public policy” exception to enforcement of an Award

29 May 2018 Mikhail Vishnyakov, England & Wales; Europe

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In RBRG Trading (UK) Limited v Sinocore International Co Ltd [2018] EWCA Civ 838 an Award debtor (“RBRG”) argued that enforcement of an international arbitration award (an “Award”) under the New York Convention would be contrary to English “public policy”.

Finality is one of the key advantages of arbitration. However, if enforcing an Award would offend English public policy then enforcement may be refused by the English Courts. For example, Awards obtained by perjury or fraud can be susceptible to challenge. If an Award is otherwise tainted by illegality (for example, if the underlying contract is illegal), its enforcement may also offend English public policy. The determination of illegality and its effect on enforcement is a matter on which judicial guidance is always welcome.

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Award need not be deferred pending determination of same issues in another forum

21 May 2018 Mikhail Vishnyakov, England & Wales; Europe

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In SCM Financial Overseas Ltd v Raga Establishment Ltd [2018] EWHC 1008 the English High Court held that a Tribunal’s decision not to defer its Award pending judgment from a foreign court on the same issues did not render the Award susceptible to challenge for “serious irregularity” pursuant to Section 68 of the Arbitration Act 1996.

Although the Tribunal could have deferred its Award, the decision on whether to do so fell within the Tribunal’s legitimate discretion. In this case, the Tribunal properly exercised its discretion and the challenge was therefore dismissed.

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LCIA Casework Report

17 May 2018 Sadie Buls; Stephen Lacey, England & Wales

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The LCIA released its 2017 Casework Report on 10 April 2018. The Report analyses the statistics from the LCIA 2017 caseload and contains a range of data broken down by sector, contract type and time elapsed since the underlying agreement was reached.

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English Commercial Court considers arbitration clause in implied contract in s.67 challenge

09 May 2018 Stephen Lacey; Sadie Buls, England & Wales; Europe

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In SEA2011 Inc v ICT Ltd [2018] EWHC 520 (Comm), London’s Commercial Court rejected three challenges to an arbitrator’s jurisdiction, two based on the identification of the parties to the arbitration clause and one based on the nature of the contract. The judgment is an interesting illustration of how, when English law applies, ordinary rules of contract can assist in identifying both the parties to a contract and whether an arbitration clause is incorporated where that contract is “implied”.

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