A Letter of Intent (“LOI”) is a preliminary document that outlines the main terms and conditions of a proposed business deal between parties. It constitutes one of the most significant pre-contractual documents relevant to international arbitration. A Letter of Intent is mainly used in complex transactions such as mergers and acquisitions, joint ventures, etc.[1] A […]
England Arbitration
Reform of the 1996 English Arbitration Act
On 6 September 2023, the Law Commission of England and Wales (the “Law Commission”) published its long-anticipated Final Report on the Reform of the 1996 English Arbitration Act (“Final Report”), along with a helpful summary of its Final Report. Procedural History In March 2021, the Law Commission was tasked by the Ministry of Justice to determine […]
Arbitration and Third Parties: The Issue of Non-Signatories
Arbitration and third parties is a topic which, over and above its academic relevance, has important practical implications for parties in international arbitration proceedings. The issue of arbitration and third parties may concern situations where a party wishes to refer to arbitration another party that was not part of the main contract and therefore did […]
Waiver of the Right to Arbitrate
In commercial disputes, parties often choose arbitration as an alternative method of resolving their disputes outside of traditional court proceedings. Despite the existence of an arbitration agreement, it is widely accepted that a party’s right to arbitrate may be waived by either an explicit contractual provision or its subsequent conduct. The courts have taken different […]
Variation Claims in International Arbitration
Variation claims in international arbitrations involving construction are common. Over the course of a construction project, it is not rare for a project to undergo changes. This might arise because the employer needs to change the original scope of work that can no longer be carried out after starting the project, or the contractor discovers […]
English High Court Applies Doctrine of Waiver by Election in Jurisdictional Challenge to ICC Arbitration
In Province of Balochistan v Tethyan Copper Co Pty Ltd, the High Court held that Balochistan was precluded from raising a corruption allegation in the English annulment proceedings because it had failed to raise it as a jurisdictional objection in the underlying arbitration proceedings. The High Court further confirmed that by waiver of election, Balochistan […]
A Single Notice of Arbitration Validly Commenced an Arbitration Where There Were Multiple Contracts
The English Commercial Court dismissed a jurisdictional challenge under Section 67 of the Arbitration Act 1996 in LLC Agronefteprodukt v Ameropa AG [2021] EWHC 3473 (Comm) and held that a single Notice of Arbitration validly commenced an arbitration where there were two contracts, each containing a separate arbitration agreement. Background LLC Agronefteprodukt (the “Sellers”) agreed to sell […]
Approach to Determining Law of the Arbitration Agreement Further Confirmed by UK Supreme Court
In Enka Insaat Ve Sanayi AS v OOO Insurance Company Chubb, the question of which law governed the validity and scope of an arbitration agreement arose before any arbitration had taken place. Then, in the UK Supreme Court judgment of Kabab-Ji SAL (Lebanon) v Kout Food Group (Kuwait) given on 17 October 2021, a similar […]
Escalation Clauses in International Arbitration: The English Approach
Escalation clauses (or multi-tier dispute resolution clauses) are commonly found in commercial contracts. These clauses may spell out different preconditions and procedures when seeking to resolve disputes.[1] Typically, the parties are required to attempt, within a specific time period, an amicable settlement or to enter into negotiations in order to avoid arbitration or litigation. Sometimes […]
