Royal & Sun Alliance Insurance Ltd and ors (appellant/arbitration resp) v Tughans (respondent/arbitration claimant)

Wednesday 26 – Thursday 27 July 2023

The Claimant brought three challenges to the Final Arbitration Award of 7 September 2021 in which the Arbitrator declared that the Claimant was obliged to indemnify the Arbitration Claimants (Tughans) in respect of certain losses and liabilities.

Foxton J dismissed the Claimant’s challenges that that the Arbitrator acted in excess of his jurisdiction and that the Arbitrator’s decision was based on an error of law.

He upheld the Claimant’s challenge under s.68 of the Arbitration Act 1996 on the ground that the Arbitrator’s decision to grant a declaration providing an indemnity in relation to the Success Fee on an unqualified involved a serious irregularity that has caused the Claimant Insurers substantial injustice. Foxton J ordered that the Final Arbitration Award be remitted to the Arbitrator under s.68(3)(a) of the Arbitration Act 1996.

View hearing:

Day 1

Part 1

Part 2

Day 2

Part 1

Part 2