UK Arbitration Law - Essay Example

The arbitration legislation allows for an objection on the tribunal’s powers and jurisdiction. Challenges must be taken before any steps are taken in the process. An alternative is to apply to the courts where the discontent party feels that the tribunal has exceeded its powers. The Arbitration Act 1996 (Act) sets out the principles which underlie arbitration and arbitration law in the jurisdiction. The Act is a single legislative framework governing all arbitrations seated in England, Wales and Northern Ireland.

The jurisdiction powers of the arbitral tribunal originate from the arbitration agreement, from the appointment by the parties and the Act (Part I Arbitration pursuant to an arbitration agreement). Here those terms are disputed as is the reference. Subject to there being a valid arbitration agreement and the correct appointment of the arbitrator, the Act provides all the necessary powers with respect to ruling on his own jurisdiction. He can determine such jurisdiction under Section 30 and this can include ruling on whether or not there is a valid arbitration contract/clause, whether the tribunal is constituted correctly, and on the matters that have been submitted to arbitration in accordance with the arbitration agreement.

Current dispute is about respondent’s challenging letter sent, which accuses of a lacking of substantive jurisdiction as the matter has not been previously disputed. Moreover, the notice of arbitration did not comply with the Contract and hence the arbitration has not been properly commenced. With respect to the second issue, the arbitrator would look at the contract and decide if the Notice was complaint i.e. what does the contract require in terms of form and content (Merkin). This is a matter of fact determinable upon examination of the contract and the notice.

It is imperative that the arbitrator throughout this whole process of dealing with a challenge acts in an unbiased