Martin & Ors v Harris [2019] EWHC 2735 (Ch) (21 October 2019)

Martin & Ors v Harris [2019] EWHC 2735 (Ch) (21 October 2019)

The High Court has jurisdiction under section 69(7) of the Arbitration Act 1996 to set aside the arbitration costs award where the substantive award has been set aside, even if the costs award was not separately appealed, because the costs award is consequential on the substantive award and falls with it.

Citation
[2019] EWHC 2735 (Ch)
Parties
Appellant / Defendant in the Arbitration: Andrew Martin; Appellant / Defendant in the Arbitration: Nicholas Greene; Appellant / Defendant in the Arbitration: Coban 2017 LLP (formerly named Strutt & Parker LLP); Respondent / Claimant in the Arbitration: Michael Harris
Jurisdiction
England and Wales
Judgment Date
21 October 2019
Procedural Posture
High Court Appeal (chancery Division) From Arbitration Award / Post Judgment, Determination of Consequential Costs Orders
Outcome
Costs Award set aside; question of costs of the arbitration remitted to the Arbitrator for determination; costs of this hearing payable by Mr Harris to the Appellants.
Legal Topics
Arbitration Costs, Jurisdiction to Set Aside Costs Award, Section 69 Arbitration Act 1996, Consequential Orders
Arbitration Civil Procedure Arbitration Costs Jurisdiction to Set Aside Costs Award Section 69 Arbitration Act 1996 Consequential Orders

Case Brief

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Parties

Andrew Martin

Appellant / Defendant in the Arbitration

Nicholas Greene

Appellant / Defendant in the Arbitration

Coban 2017 LLP (formerly named Strutt & Parker LLP)

Appellant / Defendant in the Arbitration

Michael Harris

Respondent / Claimant in the Arbitration

Procedural Posture

High Court Appeal (chancery Division) From Arbitration Award / Post Judgment, Determination of Consequential Costs Orders

Legal Issues

  1. 1 Does the High Court have jurisdiction to set aside or vary an arbitration costs award when only the substantive award was appealed?
  2. 2 Should the costs of the arbitration be reversed following the successful appeal on the merits?

Ratio Decidendi

The High Court has jurisdiction under section 69(7) of the Arbitration Act 1996 to set aside the arbitration costs award where the substantive award has been set aside, even if the costs award was not separately appealed, because the costs award is consequential on the substantive award and falls with it.

Court Disposition

Costs Award set aside; question of costs of the arbitration remitted to the Arbitrator for determination; costs of this hearing payable by Mr Harris to the Appellants.

Orders

  • The Costs Award (Final Award Part II) is set aside.
  • The question of whether Mr Harris should pay all or some of the costs of the arbitration is remitted to the Arbitrator for determination.