Nigeria v P&ID: Caution Against An Arbitral Tribunal's Non-Interventionist Approach To Arbitration?

In an extraordinary judgment from the English High Court on 23 October 2023, Nigeria successfully challenged a US$11 billion arbitral award under Section 68 of the Arbitration Act 1996 (the Act) on the basis that the award was obtained by fraud and conduct contrary to public policy, including bribery of a witness, improper retention of privileged documents and perjury by a key witness.

The Hon Mr. Justice Robin Knowles CBE appeared to question the integrity of arbitration itself, observing that there were risks associated with the process (particularly in cases of significant public money), including vulnerability to fraud and a lack of transparency. Mr. Justice Knowles noted that in this case "the Arbitration was a shell that got nowhere near the truth" and expressed hope that the circumstances of the case would provoke debate and reflection among the arbitration community.