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Back to Revised Laws of Saint Lucia (2023)

PART 4
ARBITRATION

1. (a) The party initiating recourse to arbitration (hereinafter called the “claimant”) shall give to the other party (hereinafter called the “respondent”) a notice of arbitration.

(b) Where the Commission directs the parties to arbitration these paragraphs shall apply as far as practicable.

2. Arbitral proceedings shall be deemed to commence on the date on which the respondent receives the notice of arbitration.

3. The notice of arbitration shall include the following:

(a) a demand that the dispute be referred to arbitration;

(b) the names and addresses of the parties;

(d) a reference to the contract out of or in relation to which the dispute arises;

(e) the general nature of the claim and an indication of the amount involved, if any;

(f) a description of the basic facts surrounding each issue or complaint;

(g) as far as practicable such supporting information for each issue or complaint;

(h) the relief or remedy sought;

(i) a proposal as to the number of arbitrators (i.e. one or three), if the parties have not previously agreed thereon.

4. The parties may be represented or assisted by legal practitioners of their choice. The names and addresses of such legal practitioners must be communicated in writing to the other party. Such communication must specify whether the appointment is being made for purposes of representation or assistance.

5. If the parties have not previously agreed on the number of arbitrators (i.e. one or 3), and if within 15 days after the receipt by the respondent of the notice of arbitration the parties have not agreed that there shall be only one arbitrator, 3 arbitrators shall be appointed.

6. If a sole arbitrator is to be appointed, either party may propose to the other the names of one or more persons, one of whom would serve as the sole arbitrator.

7. If within 30 days after receipt by a party of a proposal made in accordance with paragraph 6, the parties have not reached agreement on the choice of a sole arbitrator, the sole arbitrator shall be appointed by the Commission.

8. Where the Commission is entitled to appoint an arbitrator the Commission shall, at the request of one of the parties appoint the sole arbitrator as promptly as possible; and in making the appointment the Commission shall use the following list-procedure, unless both parties agree that the list procedure should not be used or unless the Commission determines in its discretion that the use of the list-procedure is not appropriate for the case:

(a) at the request of one of the parties the Commission shall communicate to both parties an identical list containing at least 3 names;

(b) within 15 days after receipt of this list, each party may return the list to the Commission after having deleted the name or names to which he objects and numbered the remaining names on the list in the order of preference;

(c) after the expiration of the above period of time the Commission shall appoint the sole arbitrator from among the names approved on the lists return to it and in accordance with the order of preference indicated by the parties;

(d) if for any reason the appointment cannot be made according to this procedure, the Commission may exercise its discretion in appointing the sole arbitrator.

9. In making the appointment, the Commission shall have regard to such considerations as are likely to secure the appointment of an independent and impartial arbitrator.

10. If 3 arbitrators are to be appointed, each party shall appoint one arbitrator; and the 2 arbitrators thus appointed shall choose the third arbitrator who will act as the presiding arbitrator of the panel.

11. If within 30 days after the receipt of a party's notification of the appointment of an arbitrator the other party has not notified the first party of the arbitrator he has appointed the first party may request the Commission to appoint the second arbitrator.

12. If within 30 days after the appointment of the second arbitrator the two arbitrators have not agreed on the choice of the presiding arbitrator, the presiding arbitrator shall be appointed by the Commission in the same way as a sole arbitrator would be appointed under paragraph 8.

13. When the Commission is requested to appoint an arbitrator pursuant to paragraph 11 or paragraph 12, the party which makes the request shall send to the Commission an affidavit together with a copy of the notice of arbitration, a copy of the contract out of or in relation to which the dispute has arisen and a copy of the arbitration agreement if it is not contained in the contract. The Commission may require from either party such information, as it deems necessary to fulfill its functions.

14. Where the names of one or more persons are proposed for appointment, as arbitrators, their full names and addresses shall be indicated, together with a description of their qualification.

15. A prospective arbitrator shall disclose to those who approach him in connection with his possible appointment any circumstances likely to give rise to justifiable doubts as to his impartiality or independence. An arbitrator, once appointed or chosen, shall disclose their circumstances to the parties unless they have already been informed by him of these circumstances.

16. Any arbitrator may be challenged if circumstances exist that give rise to justifiable doubts as to the arbitrator's impartiality or independence.

17. A party may challenge the arbitrator appointed by him only for reasons of which he becomes aware after the appointment has been made.

18. A party who intends to challenge an arbitrator shall send notice of his challenge within 15 days after the appointment of the challenged arbitrator has been notified to the other party or within 15 days after the circumstances mentioned in paragraphs 16 or 17 became known to that party.

19. The challenge shall be notified to the other party, to the arbitrator who is challenged and to the other members of the arbitration panel. The notification shall be in writing and shall state the reason for the challenge.

20. When an arbitrator has been challenged by one party, the other party may agree to the challenge, in which case the challenged arbitrator shall withdraw from his office. This does not imply acceptance of the validity of the grounds for the challenge. The procedure provided in paragraphs 6 through to 12 shall be used in full for the appointment of the substitute arbitrator, even if during the process of appointing the challenged arbitrator a party had failed to exercise his right to appoint or to participate in the appointment.

21. If the other party does not agree to the challenge and the challenged arbitrator does not withdraw, the decision on the challenge shall be made by the Commission.

22. If the Commission sustains the challenge, a substitute arbitrator shall be appointed or chosen pursuant to the procedure applicable to the appointment or choice of an arbitrator as provided in paragraphs 6 through to 12 except that, when this procedure would call for appointment by the Commission, the appointment of the arbitrator shall be made by the Commission which decided on the challenge.

23. In the event of the death or resignation of an arbitrator during the course of the arbitral proceedings, a substitute arbitrator shall be appointed or chosen pursuant to the procedure provided for in paragraphs 6 through to 12 that was applicable to the appointment or choice of the arbitrator being replaced.

24. In the event that an arbitrator fails to act or in the event of de jure or de facto impossibility of his performing his functions, the procedure in respect of the challenge and replacement of an arbitrator as provided in the proceeding paragraph shall apply.

25.1 If a presiding arbitrator is replaced, any hearings held previously shall be repeated at the discretion of the arbitration panel.

25.2 Where a sole arbitrator has been replaced the proceedings shall recommence de novo unless the parties to the arbitration agree that the notes of the previous arbitrator shall be adopted.

26. Subject to these paragraphs, the arbitration panel may conduct the arbitration in such manner, as it considers appropriate, provided that the parties are treated with equality and that at any stage of the proceedings each party is given a full opportunity of presenting his or her case.

27. At any stage of the proceedings and if either party so requests the arbitration panel shall hold hearings for the presentation of evidence by witnesses, including expert witnesses, or for oral argument. In the absence of such a request, the arbitration panel shall decide whether to hold such hearing or whether the proceedings shall be conducted on the basis documents and other materials.

28. All documents or information supplied to the arbitration panel by one party shall at the same time be communicated by that party to the other party.

29. Unless the parties have agreed upon the place where the arbitration is to be held, such place shall be determined by the arbitration panel, having regard to the circumstances of the arbitration.

30. The arbitration panel may meet at any place it deems appropriate for the inspection of goods, other property or document. The panel shall give sufficient notice to enable the parties to be present at such inspection.

31. Within a period of time to be determined by the arbitration panel, the respondent shall communicate his response in writing to the claimant and to each of the arbitrators.

32. The respondent shall reply to the claimant's written statement. The respondent may annex to his response the documents on which he relies for his defence or may add a reference to the documents or other evidence he will submit.

33. In his response or at a later stage in the arbitral proceedings if the arbitration panel decides that the delay was justified under the circumstances, the respondent may make a counter-claim arising out of the same facts.

34. During the course of the arbitral proceedings, either party may amend or supplement his claim or response unless the arbitration panel considers it inappropriate to allow such amendment having regard to the delay in making it or prejudice to the other party or any other circumstances. However, a claim may not be amended in such a manner that the amended claim falls outside the scope of the arbitration proceedings.

35. The arbitration panel shall decide which further written statements, in addition to the claim and the response, shall be required from the parties or may be presented by them and fix the periods of time for communicating such statements.

36. Each party shall have the burden of proving the facts relied on to support his claim or response, and arbitration panel may, if it consider it appropriate, require a party to deliver to the panel and the other party within such a period of time as the panel shall decide, a summary of the documents and other evidence which that party intends to present in support of the facts in issue set out in his claim or response.

37. At any time during the arbitral proceedings the arbitration panel may require the parties to produce documents, exhibits or other evidence within such a period of time as the arbitration panel shall determine.

38. In the event of an oral hearing, the arbitration panel shall give the parties adequate advance notice of the date, time and place thereof.

39. If witnesses are to be heard, at least 15 days before the hearing each party shall communicate to the arbitration panel and to the other party the names and addresses of the witnesses he intends to the present, the subject upon and the languages in which such witnesses will give their testimony.

40. Evidence of witnesses may also be presented in the form of written statements signed by them.

41. The arbitration panel shall determine the admissibly, relevance, materiality and weight of the evidence offered.

42. If, within the period of time fixed by the arbitration panel, the claimant has failed to communicate his claim without showing sufficient cause for such failure, the arbitration panel shall issue an order for the termination of the arbitral proceedings. If, within the period of time fixed by the arbitration panel, the respondent has failed to communicate his response without showing sufficient cause for such failure, the arbitration panel shall order that the proceedings continue.

43. If one of the parties duly notified under these paragraphs, fails to appear at a hearing, without showing sufficient cause for such failure, the arbitration panel may proceed with the arbitration.

44. If one of the parties, duly invited to produce documentary evidence, fails to do so within the established period of time, without showing sufficient cause for such failure, the arbitration panel may make an award on the evidence before it.

45. The arbitration panel may inquire of the parties if they have any further proof to offer or witnesses to be heard or submissions to make and, if there are none, it may declare the hearings closed.

46. The arbitration panel may, if it considers it necessary owing to exceptional circumstances, decide, on its own motion or upon application of a party, to re-open the hearings at any time before the award is made.

47. A party who knows that any provision of, or requirement under, these paragraphs has not been complied with and yet proceeds with the arbitration without promptly stating his objection to such non-compliance shall be deemed to have waived his right to object.

48. When there are three arbitrators, any award or other decision of the arbitration panel shall be made by a majority of the arbitrators.

49. In addition to making a final award, the arbitration panel shall be entitled to make interim, interlocutory, or partial awards.

50. The award shall be made in writing and shall be final and binding on the parties. The parties shall carry out the award without delay.

51. The arbitration panel shall state the reasons upon which the award is based, unless the parties have agreed that no reasons are to be given.

52. The arbitrators shall sign an award and it shall contain the date on which and the place where the award was made. Where there are three arbitrators and one of them fails to sign, the award shall state the reason for the absence of signature.

53. The award may be made public only with the consent of both parties.

54. Copies of the award signed by the arbitrators shall be communicated to the parties and the Commission by the arbitration panel.

55. The arbitration panel shall apply the law designated by the parties as applicable to the substance of the dispute.

56. In all cases, the arbitration panel shall decide in accordance with the terms of the contract and shall take into account the usage of the trade applicable to the transaction.

57. If, before the award is made, the parties agree on a settlement of the dispute, the arbitration panel shall either issue an order for termination of the arbitral proceedings or, if requested by both parties and accepted by the panel, record the settlement in the form of an arbitral award on agreed terms. The arbitration panel is not obliged to give reasons for such an award.

58. If, before the award is made, the continuation of the arbitral proceedings becomes unnecessary or impossible for any reason, the arbitration panel shall inform the parties of its intention to issue an order for termination of the proceedings. The arbitration panel shall have the power to issue such an order unless a party raises justifiable ground for objection.

59. Copies of the order for termination of the arbitral proceedings or of the arbitral award signed by the arbitrators shall be communicated by the arbitration panel to the parties and the Commission.

60. Within 30 days after receipt of the award, either party, with notice to the other party, may request that the arbitration panel give an interpretation of the award.

61. The interpretation shall be given in writing within 45 days after receipt of the request. The interpretation shall form part of the award and the provisions of paragraphs 50 and 54, shall apply.

62. Within 30 days after receipt of award, either party, with notice to the other party, may request the arbitration panel to correct in the award any errors in computation, any clerical or typographical errors, or any errors of similar nature. The arbitration panel may within 30 days after the communication of the award make such corrections on its own initiative.

63. Such corrections shall be in writing, and the provisions of paragraph 50 and 54, shall apply.

64. Within 30 days after the receipt of the award, either party, with notice to the other party, may request the arbitration panel to make an additional award as to claims presented in the arbitral proceedings but omitted from the award.

65. If the arbitration panel considers the request of an additional award to be justified and considers that the omission can be rectified without any further hearings or evidence, it shall complete its award within 60 days after the receipt of the request.

66. When an additional award is made, the provisions of paragraphs 50 and 54, shall apply.

67. Prior to commencement of arbitration proceedings the parties to the proceedings and the arbitrator shall agree to the rate, terms and conditions relating to the remuneration of the arbitrator.

68. In addition to the provisions of paragraph 67 the arbitrator shall be entitled to: