Sumukan Ltd v. Commonwealth Secretariat

[2007] EWCA Civ. 1148 (2007)

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Sumukan Ltd v. Commonwealth Secretariat

England and Wales Court of Appeal
[2007] EWCA Civ. 1148 (2007)

Facts

Sumukan (plaintiff) and the Commonwealth Secretariat (CMS) (defendant) entered a contract for software. The contract provided that the parties would refer any disputes to the Commonwealth Secretariat Arbitral Tribunal (CSAT) for settlement by arbitration in accordance with its statute. A dispute arose between the parties, and Professor Chappell was appointed as President of the tribunal without consultation with the Commonwealth governments. In April 2005, the arbitrators ruled in favor of the CMS, finding the title of the software had reverted to CMS. Sumukan appealed the award to the English courts, claiming faults under the English Arbitration Act. Sumukan further argued that the appointment of the tribunal did not comply with certain required procedures when appointing Professor Chappell as the President of the Tribunal, undermining the jurisdiction of the tribunal. CMS argued that Sumukan is bound by the contract and any failure to comply with procedures did not undermine the jurisdiction of the Tribunal that heard the arbitration. CMS further argued Sumukan is precluded from complaining now by Section 73 of the English Arbitration Act.

Rule of Law

Issue

Holding and Reasoning (Walker, J.)

Concurrence (Sedley, J.)

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