Challenging An Arbitration Award

It is common for the unsuccessful party to argue against the enforcement of an arbitration award on the ground that the arbitration was invalid, because the person who signed the contract was not authorized to agree an arbitration clause. In this case the losing party will file an annulment case. However, it may be possible to argue that the parties have accepted the tribunal's jurisdiction, or have waived any right to object, or have lost that right by not objecting at the first opportunity.

The parties to a dispute may apply for annulment of the arbitrators' award when the court is looking into its ratification in the following situations (Article 216):

1. If the award was issued without, or was based on invalid Terms of Reference or an agreement which has expired by time prescription, or if the arbitrator has exceeded his limits under the Terms of Reference.