On 29 November 2013, the Western Australia Supreme Court found
that the proportionate liability regime does not apply to
commercial arbitrations.
Justice Beech determined the question (at least in part) in the
case of Curtin University of Technology v Woods Bagot Pty
Ltd [2012] WASC 449.
This decision is significant for:
- Contracting parties in determining what method of dispute
resolution should be included in contracts, particularly where that
party assumes a liability greater than it would ordinarily assume
such as a lead design consultant
- Professionals and professional indemnity insurers in that a
professional, having agreed to arbitrate a dispute, will be placed
in a significantly different position to that which exists where
the dispute is before a court or tribunal
