OAO Northern Shipping Company v Remolcadores De Marin SL (Remmar)

OAO Northern Shipping Company v Remolcadores De Marin SL (Remmar)

The tribunal committed a serious irregularity under section 68(2)(a) of the Arbitration Act 1996 by deciding the case on a ground (no representation) that was not in issue and on which Buyers were not given an opportunity to make submissions, thereby causing substantial injustice. The award was set aside and remitted for further consideration.

Parties
Claimant: OAO Northern Shipping Company; Respondent: Remolcadores de Marin SL
Jurisdiction
England and Wales
Judgment Date
26 July 2007
Procedural Posture
Arbitration Challenge / Application Under Section 68 of the Arbitration Act 1996
Outcome
award set aside and remitted for further consideration
Legal Topics
Serious Irregularity, Natural Justice, Misrepresentation, Arbitral Procedure
Arbitration Commercial Law Serious Irregularity Natural Justice Misrepresentation Arbitral Procedure

Case Brief

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Parties

OAO Northern Shipping Company

Claimant

Remolcadores de Marin SL

Respondent

Procedural Posture

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

Legal Issues

  1. 1 Whether the arbitral tribunal committed a serious irregularity under section 68 of the Arbitration Act 1996 by failing to give the claimant a fair opportunity to address the 'no representation' point
  2. 2 Whether the tribunal's failure caused substantial injustice to the claimant
  3. 3 Whether the issue of quantum was properly addressed by the tribunal

Ratio Decidendi

The tribunal committed a serious irregularity under section 68(2)(a) of the Arbitration Act 1996 by deciding the case on a ground (no representation) that was not in issue and on which Buyers were not given an opportunity to make submissions, thereby causing substantial injustice. The award was set aside and remitted for further consideration.

Court Disposition

award set aside and remitted for further consideration

Orders

  • The arbitral award dated 18 October 2006 is set aside.
  • The matter is remitted to the tribunal for further consideration, including the issue of quantum.