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Lloyd's Maritime Law Newsletter

A and Ors v B and Anr - QBD (Comm Ct)(Flaux J) - 15 September 2011

Arbitration - Award - Application to remove arbitrator on grounds of apparent bias - Arbitrator instructed as counsel in other litigation by firm of solicitors acting in arbitration - Whether unconscious bias - Arbitrator failing to disclose his involvement in the other litigation until after hearing of arbitration - Whether serious irregularity - Arbitration Act 1996, sections 24 and 68

On 31 March 2009 the first defendant (“B”) commenced arbitration against the claimants (“A”), pursuant to the Rules of the London Court of International Arbitration (“LCIA”) alleging breaches of a share and purchase agreement. At the time, A’s solicitors were SJ Berwin. B’s solicitors were Dewey & LeBoeuf. SJ Berwin suggested that the second defendant, a QC experienced in financial law (“X”), should be appointed as sole arbitrator. Dewey & LeBoeuf agreed.

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