CS Professional · Arbitration, Mediation and Conciliation · Conceptual Framework of International Commercial Arbitration
A tribunal seated in India hears a dispute between Indian firm Sagar Exports and a UK buyer. The contract designates English law as governing, without mentioning conflict of laws. Which is correct under the Act?
The tribunal applies English substantive law, because a designation of a country's law is read as directly referring to its substantive law and not its conflict of laws rules, unless otherwise expressed. Amiable compositeur needs express authorisation.
- AThe tribunal applies English substantive law, not its conflict of laws rules, unless otherwise expressedCorrect
- BThe tribunal applies Indian substantive law
- CThe tribunal applies English conflict of laws rules first
- DThe tribunal may decide as amiable compositeur by default
Explanation
For an international commercial arbitration seated in India, a designation of a country's law is construed as referring to its substantive law, not conflict rules, unless otherwise expressed. Deciding ex aequo et bono needs express authorisation.
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