Arbitration Law Monthly

In Xstrata Coal Queensland Pty Ltd v Benxi Iron & Steel (Group) International Economic & Trading Co Ltd [2016] EWHC 2022 (Comm) an application was made to Knowles J for an extension of time under section 79(3) of the Arbitration Act 1996. That provision, which is rarely used, permits the court to extend time for contractual – as opposed to statutory – applications. The application in the present case was for clarification of an award under article 27 of the Rules of the London Court of International Arbitration, equivalent to the “slip rule” in section 57 of the 1996 Act.

Judicial proceedings commenced in breach of an arbitration clause constitute a breach of contract. It has been held by the Court of First Instance in Hong Kong, in Chimbusco International Petroleum (Singapore) Pte Ltd v Fully Best Trading Ltd HCA 2416/2014, that it is appropriate for the defendant who successfully seeks a stay of the proceedings to be awarded costs on an indemnity basis. The law in England is to the same effect. The case is discussed by Edward Yang Liu, Reed Smith Richards Butler, Hong Kong.

The International Centre for Settlement of Investment Disputes (ICSID), established under the Convention on the Settlement of Investment Disputes between States and Nationals of Other States (the ICSID Convention) provides a forum for the resolution of disputes between nations and foreign investors. Bilateral investment treaties (BITs) between countries provide for investment by their nationals, and ICSID arbitration is the means for resolving disputes arising under contracts made pursuant to BITs.

The question before Pang Khang Chau JC in the High Court of Singapore, in KVC Rice Intertrade Co Ltd v Asian Mineral Resources Pte Ltd and Another [2017] SGHC 32 was whether judicial proceedings should be stayed where the arbitration clause contained no detail.