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Arbitration Law Monthly

Jurisdiction: removal of jurisdiction after commencement of arbitration

Exportadora de Sal SA de CV v Corretaje Maritimo Sud-Americano Inc [2018] EWHC 224 (Comm) raised the unusual situation in which there was an alleged removal of the jurisdiction of the arbitrator during the course of the arbitration.

The effect of the decision is that if such a matter should arise, then: (a) the question of invalidity has to arise under the law applicable to the arbitration agreement; and (b) the party seeking to rely upon any such invalidity has to raise it as soon as possible after it comes to light under sections 31 and 73 of the Arbitration Act 1996, in order for there to be a permissible challenge on jurisdictional grounds under section 67 of the 1996 Act.

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