A bare arbitration clause, like the one included in the
government's contract with Vinci Coffee, merely provides for
the submission of disputes to arbitration without specifying the
place of the arbitration, the number of arbitrators or the method
for establishing the arbitral tribunal.
In Lakeside Dairy v International Centre for Arbitration and
Mediation in Kampala v Midland Emporium (Mubiru J.), the court
ruled that such a clause remains valid and binding if the parties
have shown a clear intention to settle any dispute by
arbitration.
The arbitration clause is sometimes referred to as a champagne
clause, because it is often drafted half-heartedly while the
parties are toasting to the successful negotiation of the other
clauses; or a sunset clause because it is drafted late in the
evening; or the honeymoon clause because of the exotic venues for
arbitration often selected by the parties. Whatever the name and
whatever the inspiration it is common to find bare
