The arbitration agreement

The arbitration agreement is considered the ‘foundation stone’ of arbitration, typically setting out where, how and under what circumstances arbitrations between parties are to be conducted.

This subtopic contains practical guidance on the arbitration agreement and related matters. The various Practice Notes consider the nature, content and scope of the arbitration agreement, the doctrine of separability of the arbitration agreement, and the relevance of the New York Convention in this particular context. Guidance on how the law of the arbitration agreement may be determined is also provided, as well as content on how to effectively incorporate an arbitration agreement into a contract, the factors that may prevent an arbitration agreement from being upheld, and what disputes may be arbitrated (ie arbitrability). Guidance on the closely-related concept of the seat of arbitration (or arbitral seat) can also be found in this subtopic, as well as information on multi-party and multi-contract arbitrations, the impact of the Contracts (Rights of Third Parties) Act 1999 on arbitration, and unilateral option clauses.

Generally speaking, this subtopic provides guidance on the arbitration agreement under English and Welsh law and the

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Latest Arbitration News

Uganda court reaffirms res judicata effect of earlier arbitral award and declines to intervene in arbitrator’s decision (China Railway 18th Bureau (Group) Co Ltd v Tumo Technical Services Ltd)

Arbitration analysis: The court dismissed a challenge to a Uganda-seated award premised on a public policy ground that the award dealt with a claim (recovery of contractual retention) that was res judicata having been determined in a prior arbitration. Dismissing the challenge, the court held that it was prohibited by the Arbitration Act, c. 5 (a Model Law statute) from reviewing the correctness of the arbitrator’s decision on the res judicata objection except upon a showing that the decision was perverse or based on wrong propositions of law, which the applicant failed to demonstrate. The court’s reasoning also indicates that (in relation at least to Uganda-seated arbitration), the applicable res judicata test is the same as that which ordinarily applies in litigation under section 7 of the Civil Procedure Act, c. 282, ie, that the claim or issue was already heard and finally decided by a competent court/tribunal in a prior dispute in which the same claim or issue was also directly and substantially in issue between the same parties or parties under whom they claim, litigating under the same title. The court also rejected a bare, unsubstantiated claim of evident partiality or bias, as well as an allegation of computational error in the award that ought to have been raised before the arbitrator in a timely request for correction of the award. Written by Hussein D. Gulam, MCIArb, associate at MMAKS Advocates.

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