ED & F Man Sugar Ltd v Belmont Shipping Ltd

ED & F Man Sugar Ltd v Belmont Shipping Ltd

Section 33 of the Arbitration Act 1996 does not require arbitrators to alert parties to arguments they have not advanced, especially where a party has made a concession and the issue was not in dispute. The charterers had a reasonable opportunity to put their case, and there was no breach of duty or serious irregularity.

Parties
Claimant: ED & F Man Sugar Limited; Defendant: Belmont Shipping Limited
Jurisdiction
England and Wales
Judgment Date
18 November 2011
Procedural Posture
Arbitration Challenge / Judgment on Application Under Section 68 of the Arbitration Act 1996
Outcome
Application dismissed
Legal Topics
Serious Irregularity, Duty of Fairness, Laytime Calculation, Demurrage, Document Only Arbitration
Arbitration Commercial Law Serious Irregularity Duty of Fairness Laytime Calculation Demurrage Document Only Arbitration

Case Brief

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Parties

ED & F Man Sugar Limited

Claimant

Belmont Shipping Limited

Defendant

Procedural Posture

Arbitration Challenge / Judgment on Application Under Section 68 of the Arbitration Act 1996

Legal Issues

  1. 1 Whether the tribunal breached its duty to act fairly under section 33 of the Arbitration Act 1996 by not alerting the charterers to a possible argument based on the Happy Day decision
  2. 2 Whether such alleged breach constituted a serious irregularity causing substantial injustice

Ratio Decidendi

Section 33 of the Arbitration Act 1996 does not require arbitrators to alert parties to arguments they have not advanced, especially where a party has made a concession and the issue was not in dispute. The charterers had a reasonable opportunity to put their case, and there was no breach of duty or serious irregularity.

Court Disposition

Application dismissed

Orders

  • Challenge to the award under section 68 of the Arbitration Act 1996 is dismissed