Third Party Successfully Challenges Arbitral Award

Introduction In France, a procedure exists whereby a third party (X) affected by a judgement between two other parties (Y,Z), may challenge that judgement by way of third party action (tierce opposition), where that judgement affects its rights. In this respect French law takes a different approach to English law. Under English law, judgements are personal to the parties and affect only the parties to the proceedings, unless the judgement in question can be characterised as in rem.

In France, if a claimant foresees the possibility of tierce opposition, it may be well advised to join the third party in question (if it can) into the main proceedings, to avoid the inconvenient outcome of potentially having to litigate the same matter twice.