UK Law Commission Publishes Its Review of the Arbitration Act 1996: Final Report and Bill

On 6 September the Law Commission published its final report and recommendations on reforms to the Arbitration Act. The full report is available here.

Below follows a non-exhaustive summary of some of the key changes:

Statutory Rule on Governing Law of an Arbitration Agreement

English law has developed common law rules to determine which law governs an arbitration agreement. These rules were summarised by the UK Supreme Court in Enka Insaat ve Sanayi AS v OOO Insurance Company Chubb [2020] UKSC 38, and largely confirmed in Kabab-Ji SAL v Kout Food Group [2021] UKSC 48. Broadly speaking, absent an agreement to the contrary the choice of law of the main contract would also apply to the arbitration agreement.

The proposed new Section 6A would alter that framework for agreements post-dating the new Act becoming law. The new Section 6A still recognises the parties’ positive choice of governing law in the arbitration agreement as determinative. Failing such choice, however, the law of the seat will be applied as the governing law.

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Embracing Technology in Arbitrations

The global pandemic continues to challenge us, with various measures ranging from further lockdowns to restrictions on in-person meetings. The judicial machinery, including that in the arbitration world, has continued to function throughout the pandemic notwithstanding the difficulties of embracing innovative processes and new technology.

To read the full text of this post by Duane Morris partner Vijay K. Bange, please visit the Duane Morris London Blog.

Achmea Case Re-Opens Unanswered Questions for Intra-EU Arbitrations

The impact and uncertainty caused by the Achmea case on investor state dispute settlement provisions contained in intra-EU Bilateral Investment Treaties continues. These issues are potentially far reaching and may extend further than originally envisaged, namely that this case was arguably specific to the BIT between Netherlands and Slovakia.

To read the full text of this post by Duane Morris partner Vijay K. Bange, please visit the Duane Morris London Blog.

The Global Push to Green Energy

Globally, notable incidents of freak weather events giving rise to destruction and death have dominated the news. The increasing frequency of these erratic climate events has undoubtedly raised awareness of global warming and, on a political level, the need for states to move quicker towards green energy and the reduction of carbon emissions. Global warming is an inescapable issue that affects us all and which has forced governments to elevate this to the top of the agenda, filtering down to economic policies that will touch upon most industry sectors.

To read the full text of this post by Duane Morris partner Vijay K. Bange, please visit the Duane Morris London Blog.

Construction, Engineering and Energy Trends Across the Globe

Problems will inevitably arise with complex large infrastructure projects. Understanding the underlying reasons and what the root causes are will perhaps aid in the process of reducing conflict.

Recently a paper was published in Construction Law (August 2021) (co-authored by my colleague Tanya Chadha, and with contributions from US partners Brad Thompson and Jeffrey Hamera, and Paul Mansell of HKA) (“The root cause of evil!” Construction Law, August 2021). An analysis was undertaken of HKA’s integrated research program that collects data on global claims/ disputes across 88 countries. An examination was undertaken of trends emerging across the UK, Middle East, US, Caribbean and Latin America.

To read the full text of this post by Duane Morris partner Vijay K. Bange, please visit the Duane Morris London Blog.

Tribunals and Courts Say “Carry On” with Proceedings

Adjudicators and Arbitrators are occasionally faced with a situation where one of the parties refuses to engage in the process. In such circumstances tribunals are left in a difficult position to ensure fairness and have regard to due process, whilst also giving careful consideration as to whether it is just and appropriate to continue the process. Ultimately, however, the reluctance of one party to engage should not deprive the other of their legal and contractual rights.

To read the full text of this post by Duane Morris partner Vijay K. Bange, please visit the Duane Morris London Blog.

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The opinions expressed on this blog are those of the author and are not to be construed as legal advice.

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