Cofely Ltd v Bingham & Anor [2016] EWHC 240 (Comm) (17 February 2016)

Cofely Ltd v Bingham & Anor [2016] EWHC 240 (Comm) (17 February 2016)

The cumulative effect of Mr Bingham's significant professional and financial relationship with Knowles, his failure to disclose this relationship, his aggressive and dismissive response to reasonable inquiries, and his conduct at the hearing would lead a fair minded and informed observer to conclude that there was a real possibility of apparent bias. Accordingly, grounds for removal under s.24(1)(a) Arbitration Act 1996 were established.

Citation
[2016] EWHC 240 (Comm)
Parties
Claimant: Cofely Limited; 1st Defendant: Anthony Bingham; 2nd Defendant: Knowles Limited
Jurisdiction
England and Wales
Judgment Date
17 February 2016
Procedural Posture
Application for Removal of Arbitrator Under Arbitration Act 1996 S.24(1)(a) / Judgment on Application
Outcome
Application granted; arbitrator to be removed unless he resigns.
Legal Topics
Apparent Bias, Impartiality of Arbitrator, Disclosure Obligations, Arbitration Act 1996 S.24, Arbitration Act 1996 S.33, Arbitration Act 1996 S.73
Arbitration Commercial Law Construction Law Apparent Bias Impartiality of Arbitrator Disclosure Obligations Arbitration Act 1996 S.24 Arbitration Act 1996 S.33 +1 more

Case Brief

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Parties

Cofely Limited

Claimant

Anthony Bingham

1st Defendant

Knowles Limited

2nd Defendant

Procedural Posture

Application for Removal of Arbitrator Under Arbitration Act 1996 S.24(1)(a) / Judgment on Application

Legal Issues

  1. 1 Whether circumstances exist giving rise to justifiable doubts as to the impartiality of the arbitrator under s.24(1)(a) Arbitration Act 1996
  2. 2 Whether the applicant lost the right to object under s.73 Arbitration Act 1996

Ratio Decidendi

The cumulative effect of Mr Bingham's significant professional and financial relationship with Knowles, his failure to disclose this relationship, his aggressive and dismissive response to reasonable inquiries, and his conduct at the hearing would lead a fair minded and informed observer to conclude that there was a real possibility of apparent bias. Accordingly, grounds for removal under s.24(1)(a) Arbitration Act 1996 were established.

Court Disposition

Application granted; arbitrator to be removed unless he resigns.

Orders

  • If Mr Bingham does not resign, an order for his removal as arbitrator will be made.