Jurisdiction(s):
United Kingdom

England and Wales Court of Appeal: costs orders in Arbitration Act 1996 s67/s68 challenges are appealable without leave; currency follows receiving party’s liability (P&ID v Nigeria)

Published on: 05 August 2024

Published by a LexisNexis Arbitration expert

Legal News

Article summary

What are the practical implications of this case?

This ruling is significant for practitioners representing parties in arbitrations and in challenges to arbitral awards. For years there has been uncertainty over whether costs orders are captured by the restrictive appeal routes in AA 1996, ss 67(4) and 68(4). Those provisions state that a party cannot appeal a judgment under those sections without permission from the court that issued it. In P&ID, the Court of Appeal has now confirmed that costs orders sit outside the scope of these sections. Advisers should factor this in when acting for a party that has lost a section 67 or section 68 application: even if the substantive outcome is not appealable, there may still be aspects—such as costs—that remain open to challenge.

What was the background?

In March 2023, Knowles J held that Nigeria’s challenge to two arbitral awards under AA 1996, s 68 should succeed...

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