Landmark ruling of Germany’s Constitutional Court: Arbitration Clause Violates Access to Justice

In a long-awaited landmark ruling in a case concerning the German ice-skating champion Claudia Pechstein, the German Federal Constitutional Court (Bundesverfassungsgericht) has found that the mandatory arbitration clause of the Court of Arbitration for Sport (“CAS“) violated the athlete’s constitutional right of access to justice pursuant to Art. 2(1) in conjunction with Art. 20(3) of … Read more

Hong Kong Court of Appeal rules on landmark case regarding escalation clauses

Herbert Smith Freehills has secured an important judgment from the Hong Kong Court of Appeal, C v D [2022] HKCA 729, regarding escalation clauses – contractual provisions which require negotiation or mediation before either party can begin formal proceedings. These clauses are intended to promote the efficient resolution of disputes, but often lead to costly litigation. … Read more

SINGAPORE HIGH COURT HOLDS THAT ARBITRATION CLAUSE MISNAMING AN ARBITRAL INSTITUTION IS VALID

The Singapore High Court has interpreted a potentially defective arbitration clause, which selected the “China International Arbitration Center” (a non-existent institution), as an agreement to CIETAC arbitration and therefore upheld an award issued by a CIETAC Tribunal. The Court held that, provided the parties objectively intended to refer to the same arbitral institution (rather than … Read more

MALAYSIA: HIGH COURT CLARIFIES LIMITS ON STAY CONDITIONS

The Malaysian High Court has refused to impose a condition on a party seeking a stay of proceedings under section 10 of the Arbitration Act 2005 to pay its share of the deposit in the arbitration, on the basis that the issue of costs and expenses of an arbitration are within the exclusive jurisdiction of … Read more