PAMIRE & ORS vs. Dumbutshena & ANOR – Case no: Judgement No. HH-36-01 , (2001 (1) ZLR 123 (H)

iarb

Algeria


Applicant (Pamire) filed a court application in which they sought to have a certain arbitration award made by first respondent in favor of the second respondent, set aside on the grounds of gross unreasonableness. The second respondent filed an application seeking an order to have the same arbitration award enforced.


The judge has allowed the affidavit to be admitted because the applicants opposed the application under case NO.HC 1437/98 on the grounds that to recognize and enforce the award would be contrary to public policy. In addition, the judge wasn’t persuaded that an arbitration award made under the provisions of the Arbitration Act can be set attacked other than in terms of S34 of the Model Law contained in the Schedule to the Arbitration Act. The limited grounds of attack are meant to ensure international uniformity in the application of the law, which is of international origin and which is intended to govern both domestic and international arbitration. It is, further, not their case that they were not afforded a chance to fully present their case to the first respondent and to meet all of the second respondent’s contentions against them. So, to that extend no breach of the rules of natural justice during the arbitration process and also no grossly unreasonable decision is necessarily the result of a breach of the rules of natural justice. The first responding erred in awarding the sum of $15312000 as damages and did not take into account the fact that the second respondent still had to pay the outstanding sum of $217729.54. The second respondent after receiving the sum of $15312000, at the end of the agreed period, it would have had to invest the sum of $1500000. In the absence of such an investment, the full reward would not have been forth coming. To therefore grant the full reward in the absence of complete performance by the second respondent does make justice turn on his head. So the applicant’s application is dismissed with costs and also the second respondent’s. The award of the arbitrator is set aside.

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National Social Security Authority vs Chariman, National Social Security Authority Workers Committee & ORS – Case No. Judgement No. HH-51-02, (2002 (1) ZLR 306 (H))

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Algeria


A review application in connection with an award made by the third respondent (Chigwendere) as an arbitrator in the dispute between the applicant (NSSA) and the second respondent (Workers committee). The Works Council couldn’t agree on the general salary increase and the amount of the transport allowance. So the matter was referred to arbitration. The arbitrator awarded increment on the wages and salary. NSSA has applied for a review of the award.


Application dismissed. There is no indication in the award that the arbitrator did not apply his mind to the question or that he totally misunderstood the issue. The main objection by one of the parties to the arbitral award is that the arbitrator failed to give reasons for the award, which that party should have applied, as a matter of urgency, for the arbitrator to furnish his reasons within a specified period. If the arbitrator failed to furnish his reasons or furnished reasons which indicated that there were grounds for setting aside the award in terms of Article 34, then the requisite application could be filed.

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Mushaka vs. Zhanje & ANOR – Case no. Judgements no. HH-68-09, (2009 (2) ZLR 9 (H)

iarb

Algeria


Applicant (Mushaka) and the first responding (Zhanje) ran a real estate business in partnership until a dispute arose between then. The applicant then instituted proceedings in this court; in order to expedite the resolution of the matter, the dispute was referred to the second respondent (Anor, the arbitrator) for determination. But the award was contested by the applicant.


Dismissed with costs. I am unable to accept the applicant’s contention that the arbitrator award went beyond his remit under the broad submission to arbitration. Given that the partnership was not intended to continue but was to be dissolved, the appointment of assets at that stage cannot logically be contrary to the law of partnership. The public policy argument under article 34 (2) (b) (ii) of the Model Law is to be restrictively construed so as to preserve and recognize the basic objective of finality in the arbitration process. In my view, the challenged award does not constitute a palpable inequity that is so far reaching and outrageous in its defiance of logic or accepted moral standards that a sensible and fair minded person would consider that the conception of justice in Zimbabwe would be intolerably hurt by the award. Accordingly, the applicant has not succeeded in justifying either of the grounds of challenge.

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Mtetwa & ANOR vs. Mupamhadzi – Case no. S-35-07, (2007 - (1) ZLR 253 (S))

iarb

Algeria


Dispute rose between the parties regarding an agreement by the parties for the sale of land & the construction thereon of a house by the appellants. The arbitrator upheld the agreement of sale and construction. The award was subsequently registered with, & became an order of, the High Court. The appellant filed an application in the court a quo entitled “Application for Review & Leave to Apply Out of Time”. In the application, the appellant sought to have the arbitral award set aside on the basis that it was “grossly unreasonable”. The court a quo dismissed the application on three grounds: application should have been made in terms of Article 34 of the Model Law; second application filed more than three months after receipt of arbitral award; third no good explanation for delay.


Appeal has been dismissed.

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U&M mining Zambia Ltd versus Konkola Copper Mines plc – 28 february 2013 EWHC 260 (Comm)

iarb

Algeria


U&M Mining Zambia Ltd, a Zambian subsidiary of a Brazilian company, operated a mine for Konkola Copper Mines plc, the owner of the mine and a Zambian subsidiary of UK-listed Vedanta Resources plc. The parties entered into an agreement, which was governed by Zambian law, and provided for disputes to be resolved by LCIA arbitration with the “place” of arbitration in London. The Agreement also provided for the Zambian courts to have exclusive jurisdiction. The respondents terminated the agreement and obtained an ex parte interim order from the High Court of Zambia requiring U&M to vacate the mine immediately and hand over certain equipment. U&M commenced LCIA arbitration in London and subsequently made a without notice application to the English High Court and obtained an anti-suit injunction restraining Konkola from taking any further steps in the Zambian courts. The courts identified the issues and held: Seat: the “place” of arbitration was the seat of arbitration; Whether the English courts had exclusive jurisdiction to grant interim remedies.


It was common ground that, if the English courts did not have exclusive jurisdiction, then the anti-suit injunction must be set aside. Anti-suit injunction was set aside.

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Audrey Nyambe vs. Total Zambia Limited – SCZ Judgment No.1/2015 , Appeal No. 29/2011

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Algeria


An appeal against decision of High Court, staying proceeding before it & referring the matter to arbitration. Appellant & respondent entered into a marketing license agreement in which the appellant was to, interalia, sell the respondent’s products & conduct ancillary business at the respondent’s filling station. Respondent terminated the Agreement without notice, so appellant commenced proceedings in the High Court. But before trial, the respondent applied for stay of proceeding & reference of the matter to arbitration; the judge accepted both.


Appeal allowed. The learned judge’s order is set aside. The matter is heard by the High Court before another judge. The learned Judge erred because at the time the dispute between the parties arose & indeed at the time the matter was referred to arbitration, the arbitration clause had become inoperative & incapable of being performed.

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Zambia Telecommunications Co. Limited vs. Celtel Zambia – Appeal No. 90 of 2006 (SCZ Judgment No. 34 of 2008)

iarb

Algeria


An appeal against the High court judge, setting aside an arbitral award made by an arbitral tribunal by believing it was in breach of public policy, the procedure and the law of Zambia; also the arbitral award is an excess of the jurisdiction of the Tribunal. The arbitral tribunal was constituted to consider the interpretation of a paragraph in the agreement document referred to as the “Disputed Clause”. Prior to the awarding of the Arbitral Award the Chairman accepted an appointment to serve as a member of another Tribunal (as co-arbitrator), with one counsel that represented the defendant in this case. This was perceived to have had an influence on the decision of the Tribunal.


Appeal dismissed. The perception of possible bias on the part of the Chairman is reasonable. The letter appointing him to that arbitral tribunal was written 2 days before the award in the matter before was made. The possibility, however, was that before the Chairman was formally written to on the 26th May, 2004 to notify him of his appointment, he must have been earlier on approached over the same. So lower court’s judgments upheld in full.

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Zambia National Holdings Limited and United National Independence Part vs. the Attorney- General - (SCZ Judgment No 3 of 1994)

iarb

Algeria


The appellants brought a petition in the High Court to challenge the decision of the respondent to acquire compulsorily their land. The petition was unsuccessful and so this appeal. It’s inadmissible to construe the word “unlimited” vacue in and then to proceed to find that a law allegedly limiting of the Courts is unconstitutional. The expression “unlimited jurisdiction” should not be confused with the powers of the High Court and the various laws. However the High Court is not exempts from adjudicating in accordance with the law including complying with procedural requirement as well as substantive limitations. In the absence of an order of interlocutory injunction, no other useful orders could have been made against the state in order to affect a suspension of the compulsory acquisition pending trial and, in case of breach, to exact compliance. The Lands Acquisition Act is not part of the Constitution & is, on the contrary, simply a law envisaged under the Constitution for depriving persons of their fundamental rights of owning property. Contrary to the appellants’ submission, the issue of compensation which has not been litigated relates to a remedy on new principles of assessment and the amendments effected to the land Acquisition Act. The acquisition here was not unlawful for want of a prior tender of compensation. Undoubtedly this case raised constitutional issues of general importance, & the practice in this court has been to depart from the general rule of costs following the event when the litigation has had a significant contribution of public importance particularly on issues which come before the court for the first time.


We agree with the appellants that these considerations ought to have weighted in favor of the practice referred to. This ground of appeal was allowed & set aside the order for costs made.

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Telcordia Technologies Inc vs Telkom SA Ltd – Case No: 26/05 ([2007] 2 All SA 243 (SCA))

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Algeria


Appellant entered into an agreement to provide for the development of software to the respondent. The latter refused to make payment upon performance by the appellant. Dispute referred to arbitration. He has found that the appellant’s interpretation of the agreement was correct, & that the appellant had then validly accepted the repudiation. Respondent sought judicial review in the High Court. The latter set aside the arbitration award, removed the arbitrator & appointed 3 new arbitrators in his place because it was believed that the arbitrator had committed certain gross irregularities in the arbitration proceedings in the course of interpreting the contract.


Appeal upheld & High Court order is set aside. The High Court erred in approaching the dispute by interpreting the agreement afresh. It should first have determined whether there were any reviewable acts committed by the arbitration. Although arbitrator might have been wrong, this does not mean that he had misconceived the nature of the inquiry or his duties, or that he acted irrationally. The High Court had wrongly blurred the distinction between the factual issues, question of law & procedural irregularities.

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Lufuno Mphaphuli & Associates (Pty) Ltd vs. Andruis & another – Case no.: 434/06 (2007)

iarb

Algeria


The appellant (Lufuno) had sub-contracted with the second responding (Boponang Construction) for the latter to execute electrical work on one of the appellant’s projects. As a result of a dispute which arose between the parties, the second respondent sued the appellant for payment. That action was abandoned when the parties agreed to refer the dispute to arbitration. The first respondent (Niger Andreuis) was appointed as arbitrator and he has found that the appellant was liable for paying to the second respondent, albeit in a lesser amount than that claimed. Appellant approached the high court for the review of the award. High court refused the review application and granted the second respondent application to make the award an order of court. However, leave to appeal was granted.


Appeal dismissed because the parties had waived the right to have the merits of their dispute re-litigated or reconsidered. Interference by court was therefore limited to the ground of procedural irregularities. There are no reasonable grounds to think that Andrews might have been biased hence the award is immune from interference.

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