THE WINNER LOSES IT ALL? ENGLISH COURT UPHOLDS NIGERIA’S CHALLENGE TO $11bn AWARDS IN 140 PAGE MEGA-JUDGMENT

Observing that “the facts and circumstances of this case… are remarkable” and that he did not do so “without reluctance” Knowles J upholds challenge to tribunal’s awards but leaves their ultimate fate open. In the latest decision in a decade long case that has already seen Nigeria granted an “unprecedented” extension of almost three years … Read more

REFORMING THE ARBITRATION ACT

On 6 September 2023, the Law Commission published its final report on the proposed reform of the Arbitration Act 1996, together with a draft amendment Bill. Although the Law Commission emphasised that “root and branch reform is not needed or wanted“, the report nonetheless makes several significant recommendations for change and proposes other more minor … Read more

UK Supreme Court interprets the “stay” provisions of s9 of the Arbitration Act 1996: rules Mozambique’s claims fall outside scope of arbitration agreements and rejects s9 application for stay

Introduction In Republic of Mozambique v Privinvest Shipbuilding SAL and others [2023] UKSC 32, the Supreme Court has unanimously found the Republic of Mozambique (Mozambique)’s claims for, among other things, bribery, conspiracy and dishonest assistance against the defendants to be “matters” which fall outside the scope of the arbitration agreements in a number of related … Read more

ENGLISH COURT RETAINS POWER TO AWARD COSTS AFTER ARBITRATION CHALLENGE DISMISSED

In Viking Trading OU v Louis Dreyfus Suisse SA [2023] EWHC 2160 (Comm) the English Commercial Court clarified its discretionary power to grant costs of defending a s69 application under the English Act (Act) for permission to appeal an arbitral award, even if costs were not initially sought. This decision provides helpful guidance on best … Read more

English Commercial Court rejects consumer’s public policy challenge to arbitration award due to insufficiently “close connection” of the contract to UK

In Eternity Sky Investments Ltd v Mrs Xiaomin Zhang [2023] EWHC 1964 (Comm), the English Commercial Court has rejected a challenge to an arbitration award on the grounds of public policy. Although the applicant argued that the terms of the underlying contract were unfair for the purposes of English consumer legislation, the court held that … Read more

The Law Commission’s Second Consultation Paper – an evolving approach

This week the Law Commission published a second Consultation Paper as part of its review of the English Arbitration Act (the Act). The Paper raises three issues for consultation: (1) how the proper law of the arbitration agreement should be determined under English law; (2) the procedure for jurisdictional challenges before the English court under … Read more