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Doc0430PDF

The arbitration agreement is valid under Tanzanian law as the parties had capacity, were properly represented, and the agreement is not invalid under the law to which they subjected it. The reference to 'Cap 16' is a typographical error and does not render the clause void, inoperative, or incapable of being performed. The saving provision in the Arbitration Act, 2020 preserves the validity of agreements made under the repealed law. The petitioner's failure to initiate arbitration does not invalidate the agreement.

Citation
Doc0430PDF
Parties
Petitioner: Tanzanite Construction Company Limited; Respondent: Rashmear Developer Limited
Court
TANZLII
Jurisdiction
Tanzania
Judgment Date
27 September 2012
Procedural Posture
Miscellaneous Commercial Cause (application for Revocation of Arbitration Clause) / Ruling on Petition
Outcome
Petition dismissed with costs
Legal Topics
Validity of Arbitration Agreement, Revocation of Arbitration Clause, Interpretation of Arbitration Clauses, Party Autonomy in Arbitration, Enforcement of Arbitration Agreements
Source Language
English
Arbitration Contract Law Civil Procedure Validity of Arbitration Agreement Revocation of Arbitration Clause Interpretation of Arbitration Clauses Party Autonomy in Arbitration Enforcement of Arbitration Agreements

Case Brief

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Parties

Tanzanite Construction Company Limited

Petitioner

Rashmear Developer Limited

Respondent

Procedural Posture

Miscellaneous Commercial Cause (application for Revocation of Arbitration Clause) / Ruling on Petition

Legal Issues

  1. 1 Whether the arbitration clause in the construction contract is null and void, inoperative, or incapable of being performed under Tanzanian law
  2. 2 Whether a reference to a non-existent statute in the arbitration clause invalidates the agreement

Ratio Decidendi

The arbitration agreement is valid under Tanzanian law as the parties had capacity, were properly represented, and the agreement is not invalid under the law to which they subjected it. The reference to 'Cap 16' is a typographical error and does not render the clause void, inoperative, or incapable of being performed. The saving provision in the Arbitration Act, 2020 preserves the validity of agreements made under the repealed law. The petitioner's failure to initiate arbitration does not invalidate the agreement.

Court Disposition

Petition dismissed with costs

Orders

  • Petition dismissed
  • Petitioner to pay costs