Failure To Comply With Clear Timelines In Dispute Resolution Clauses Precludes A Party From Compelling Arbitration

Introduction

In Comren Contracting Inc. v Bouygues Building Canada Inc., 2020 NUCJ 2¹, the Nunavut Court of Justice considered whether strict adherence to timelines set out in an arbitration provision was a necessary condition to compel arbitration.

Bouygues Building Canada Inc. ("Bouygues"), and its subcontractor, Comren Contracting Inc. ("Comren") were engaged in a dispute relating to work on an airport.² Comren applied to the Court for an order compelling Bouygues to submit to arbitration and for the Court to appoint an arbitrator. Bouygues argued that Comren was not compliant with the timelines set out in the dispute resolution provision of the subcontract and that the application should be dismissed.³ The Court found that Comren failed to invoke the arbitration process in a manner that would contractually compel Bouygues to participate, and dismissed the application.⁴