As part of continuing efforts to enhance Singapore’s status as a regional arbitration hub, the country’s ministry of law (MinLaw) has proposed a number of amendments aimed at expanding the scope of arbitral tribunals’ jurisdiction and powers.
The proposed amendments include relaxing the current requirement that arbitration agreements be in writing, and allowing Singapore courts to review rulings by arbitral tribunals that the latter do not have the jurisdiction to hear the disputes. Additionally, they clarify the scope of arbitral tribunals’ powers to award interest in arbitral proceedings, and allow the appointment of “emergency arbitrators” before the arbitral tribunal hearing the dispute is properly constituted.
An “arbitration agreement,” as defined by the draft International Arbitration (Amendment) Bill (IA(A) Bill), will include agreements concluded by any means (orally, by conduct, or otherwise) as long as their content is recorded in any form.
The International Arbitration Act currently does not permit a Singapore court to review negative jurisdictional rulings, that is, rulings by a tribunal that it has no jurisdiction to hear the dispute, but the court can review positive jurisdictional rulings. The IA(A) Bill will allow parties to have recourse to Singapore courts in respect of both positive and negative jurisdictional rulings, at any stage of the arbitral proceedings.
The SIAC allows for an “emergency arbitrator” procedure that provides for the appointment of an interim arbitrator pending the constitution of the actual tribunal. The IA(A) Bill accords emergency arbitrators with the same legal status and powers as that of any other arbitral tribunal and ensures that orders made by such emergency arbitrators are enforceable.
Additionally, MinLaw has proposed a Foreign Limitation Periods Bill (FLP Bill) that clarifies the issue of which country’s limitation laws apply to disputes that are litigated in Singapore (either in court or through arbitration), but which are governed by the law of another jurisdiction. The FLP Bill makes it clear that the applicable limitation period will be the rules of the law that govern the dispute, and this will not only apply to arbitrations, but also to disputes litigated in court. ALB
Ranajit Dam is Southeast Asia Editor at ALB. Follow him on @RanajitDam_ALB
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