Error of law

What is an error of English law?

The Arbitration Act 1996, s69, confers jurisdiction upon the court to set aside or remit an award for error of law. Section 82(1) of the 1996 Act goes on to define ‘a question of law’ as ‘a question of the law of England and Wales’. Therefore, even though the arbitration may have its seat in England, if the substantive questions to be determined are governed by a foreign law (whether by the choice of parties or by reason of a ruling of the arbitrators), there can be no appeal against the award on the basis of error of law. This provision is simple to apply where the award is squarely based on foreign law (see Egmatra AG v Marco Trading Corporation [1999] 1 Lloyd’s Rep 862 and Sanghi Polyesters Ltd (India) v International Investor (KCFC) Kuwait [2000] 1 Lloyd’s Rep 480 ). However, what is the position where English law and the chosen foreign law are the same? This issue was considered by Aikens J in Reliance Industries Ltd v Enron Oil and Gas India Ltd and Oil & Natural Gas Corporation , November 2001, unreported.