Read the full judgment text of HCCT 60/2015 on BabelCite. This 高等法院原訟法庭 judgment was delivered on 30 August 2016 before Hon Mimmie Chan J in Chambers.
Arbitration — setting aside award — Arbitration Ordinance (Cap 609) ss 81 and 64 — whether arbitrators exceeded mandate by acting as amiable compositeurs without express authorization — application of New York law as agreed governing law — enforceability of liquidated damages clause — admissibility of parol evidence — international arbitration seated in Hong Kong under ICC rules — Plaintiffs sought to set aside award ordering US$475 million deposit returned to Defendant — Tribunal majority found SPA breach but held liquidated damages clause unenforceable and recognized oral collateral agreement — Plaintiffs argued tribunal consciously disregarded New York law and decided equity without authorization — Court reviewed award and expert opinions — held errors of law do not amount to conscious disregard — no clear evidence of tribunal acting outside mandate — expert opinions on tribunal's state of mind inadmissible — Plaintiffs' application dismissed — costs ordered against Plaintiffs on indemnity basis.
Legal issues: Whether the arbitral tribunal exceeded its mandate by acting as amiable compositeur without authorization
Outcome: Dismissal of the Plaintiffs' application to set aside the arbitral Award
Cites 1 case