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ARTICLE · 26 OCTOBER 2016

Arbitration: Is My Award Worth As Much This Week As Last Week?

With the pound impacted by Brexit fears and suffering from a 'flash crash' a question occurs to me: is an award for, say, £100,000 million worth the same this week as last week?

United KingdomLitigation, Mediation & Arbitration

With the pound impacted by Brexit fears and suffering from a 'flash crash' a question occurs to me: is an award for, say, £100,000 million worth the same this week as last week?

The fluctuation of currency is far from uncommon so what is the impact on any damages awarded in arbitration and the enforcement of those damages in such situations

What currency is the award made in?

Under English law, the tribunal may order the payment of a sum of money in any currency (Arbitration Act 1996 (AA 1996), s 48). (By way of interest, similarly in an arbitration under the Arbitration Rules of the London Court of International Arbitration (LCIA) an award may be expressed in any currency unless the parties have agreed otherwise (Article 26)). 

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