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Stockholm Arbitration Report (SAR)

Preview Page SAR 2002 - 2

Subject-matter: Multi-party arbitration. Whether a contractor can rely on tri-partite arbitration arrangements to avoid or delay arbitration with a sub-contractor. I.C.E. 5th Edition (June 1973) Standard form of Contract for Civil Engineering Works and the F.C.E.C. Standard Form of Sub-Contract (September 1984 Edition) (the “Blue Form”).

Finding: A contractor who refers disputes with a sub-contractor to arbitration under the main agreement between the contractor and employer must take steps to implement arbitration with the employer.

Parties:
Respondents: Lafarge Redlands Aggregates Ltd
Appellants: Shephard Hill Civil Engineering Ltd

Place of court proceedings: London, England

Applicable law: English

Below follows a short summary and an excerpt from the decision by the House of Lords represented by Lord Hope of Craighead, Lord Cooke of Thorndon, Lord Clyde, Lord Hobhouse of Woodborough and Lord Millett. The case was appealed to the House of Lords from the Court of First Instance and the Court of Appeal.