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ARTICLE · 12 SEPTEMBER 2019

English High Court: Arbitration Clause Extends To A Claim Based On Settlement Agreement

An arbitration agreement is generally perceived as an agreement to submit to arbitration any disputes that may arise under the contract containing such a clause

AustriaLitigation, Mediation & Arbitration

An arbitration agreement is generally perceived as an agreement to submit to arbitration any disputes that may arise under the contract containing such a clause. Arbitral tribunals and courts are traditionally very restrictive when it comes to interpreting such clauses - even the slightest ambiguity can result in the arbitration clause being declared null and void. In Sonact Group Limited v. Premuda SPA [2018] EWHC 3820 (Comm), however, the English High Court decided that an arbitration agreement continues to apply also to the claim for the payment that was agreed as a settlement of the claim based on the underlying contract.

The parties concluded a charter party contract which contained an arbitration clause for "any and all differences and disputes of whatsoever nature arising out of this charter". Following the failure of the charterer to meet its obligations, the owner claimed demurrage of USD718,948.08 and heating costs of USD190,200. The claim was settled by an

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