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ARTICLE · 23 NOVEMBER 2023

Arbitration – Reflecting On A Rare Successful S.68 Challenge

Gowling WLG
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In The Federal Republic of Nigeria v Process & Industrial Developments Limited [2023] EWHC 2638 (Comm), Mr Justice Knowles in the Commercial Court considered a challenge to two arbitral awards.

United KingdomLitigation, Mediation & Arbitration

In The Federal Republic of Nigeria v Process & Industrial Developments Limited [2023] EWHC 2638 (Comm), Mr Justice Knowles in the Commercial Court considered a challenge to two arbitral awards. Not only is this a very rare example of a successful challenge to an award under Section 68 of the Arbitration Act 1996 ("the Arbitration Act"), but it contains excoriating commentary on the conduct of the arbitration. Here we look at a decision which the judge hoped would "provoke debate and reflection among the arbitration community".

The history of the case

A dispute arose between the Federal Republic of Nigeria ("Nigeria") and Process & Industrial Developments Limited ("P&ID") as to performance of their obligations under a (Nigerian law) contract titled "Gas Supply and Processing Agreement for Accelerated Gas Development" ("the GSPA"), which had a duration of 20 years or more. P&ID's allegations included a claim that Nigeria failed to provide gas, so frustrating

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