Saturday, November 10, 2012

Ireland: Wrong Party, Right Answer: The Irish High Court Refuses A Stay To Arbitration Under Article 8 And The Inherent Jurisdiction

The position of a non-signatory to an arbitration agreement is a topic of enduring interest in arbitration circles. The issue can arise in a number of ways, depending on the non-signatory's objectives. If the non-signatory would prefer to arbitrate rather than litigate its dispute, it might bring an application to stay court proceedings to arbitration. Alternatively, the non-signatory may want to escape the consequences of an award already made against it, and defend an application to enforce that award.

In England, the issue of the non-signatory has received reasonably comprehensive treatment in the Court of Appeal (City of London v Sancheti)1 and the Supreme Court (Dallah v Government of Pakistan).2 Now, the Irish High Court has had occasion to deal with a paradigm case.

The case arose out of the project to construct the new acute hospital in Enniskillen, Northern Ireland....

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