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International Commercial Arbitration

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From a different perspective, the question of Orders and Awards is imminent and of much concern with respect to contemporary claims that privity of contract is the cause of unnecessary disputes. To start with, there are elements that must be observed when handling arbitration orders. In that light, every arbitration order must be served in writing to the concerned party with respect to procedural concerns. In the event that the arbitration tribunal fails to do so in the prescribed format, the intended party shall be at liberty to ignore the order.

In addition, traditional principles of law shall also not hold the mentioned party liable for contempt of court for refusing to honour defective order as reiterated by Richard and Salzedo (1996, pp. 81-7). Where the contract involve foreign parties who agreed to operate within the terms of an arbitration clause, it is practicable to specify the law that shall govern such contract. As a result, common practice has since observed that the arbitration tribunals are bound to resolve any arising disputes in accordance with the chosen law. Otherwise, the case shall be decided under the English Law if the arbitration agreement failed to specify any law to that effect.

It is for that reason that Mustill and Boyd (1989) noted that foreign courts are at liberty to recognize orders and awards issued under a specific law chosen by the arbitration parties as illustrated in the case of Altaine Khuder LLC v IMC Mining Inc. and IMC Mining Solutions Pty Limited [2011] VSC I. In recognizing orders, the following principle must apply. First, there arbitration tribunal must demonstrated utmost adherence and application of the specified law identified to govern the breached contract.

Secondly, the applying party must have acted in good faith, and lastly, the order ought to serve the intended purpose as read with Section 46(1) of the Arbitration Act, 1996 (Redfern & Hunter 2009, p. 157). The other essential matter in privity revolves around valid documentation and evidence in arbitration proceedings.   According to (Gary 2011, p. 73), it is vital to ensure that all documents relating to the contract under redress should be presented in time without intentional waste of time or resources.

Further, principles require that the injured parties present evidence of breach in accordance with expert opinion for such evidence to be admissible in a court of law or the tribunal.   Only then shall any evidence be deemed valid to substantiate a claim or challenged of Award (Gaillard & Savage 1999, p. 166).  

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preview essay on International Commercial Arbitration
  • Pages: 13 (3250 words)
  • Document Type: Essay
  • Subject: Law
  • Level: Undergraduate
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