Merthyr (South Wales) Ltd v Cwmbargoed Estates Ltd & Anor

Merthyr (South Wales) Ltd v Cwmbargoed Estates Ltd & Anor

The claimant failed to demonstrate that the arbitrator's construction of the lease was obviously wrong on the face of the award. The arbitrator's decision was within the range of reasonable interpretations, and section 69 does not permit leave to appeal merely because another view is arguable. The parties chose arbitration and must accept the finality of the award unless the high threshold for intervention is met, which it was not.

Parties
Claimant: Merthyr (South Wales) Ltd; Defendant: Cwmbargoed Estates Ltd; Defendant: Dowlais Top Investment Company Ltd
Jurisdiction
England and Wales
Judgment Date
25 March 2019
Procedural Posture
Arbitration Appeal / Application for Leave to Appeal Under Section 69 of the Arbitration Act 1996
Outcome
Application for leave to appeal refused
Legal Topics
Leave to Appeal Arbitration Award, Interpretation of Lease, Production Related Rent Calculation, Arbitration Act 1996 Section 69, Finality of Arbitral Awards
Arbitration Contract Law Property Law Leave to Appeal Arbitration Award Interpretation of Lease Production Related Rent Calculation Arbitration Act 1996 Section 69 Finality of Arbitral Awards

Case Brief

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Parties

Merthyr (South Wales) Ltd

Claimant

Cwmbargoed Estates Ltd

Defendant

Dowlais Top Investment Company Ltd

Defendant

Procedural Posture

Arbitration Appeal / Application for Leave to Appeal Under Section 69 of the Arbitration Act 1996

Legal Issues

  1. 1 Whether the arbitral award on the calculation of Production Related Rent (PRR) under the lease was 'obviously wrong' in law
  2. 2 Whether leave to appeal should be granted under section 69 of the Arbitration Act 1996

Ratio Decidendi

The claimant failed to demonstrate that the arbitrator's construction of the lease was obviously wrong on the face of the award. The arbitrator's decision was within the range of reasonable interpretations, and section 69 does not permit leave to appeal merely because another view is arguable. The parties chose arbitration and must accept the finality of the award unless the high threshold for intervention is met, which it was not.

Court Disposition

Application for leave to appeal refused

Orders

  • Application for leave to appeal under section 69 of the Arbitration Act 1996 is refused
  • Section 68 application (serious irregularity) to be listed for hearing as soon as possible with a four-hour time estimate