BLG's International Trade and Arbitration Group recently issued a bulletin, found here,that summarized the Alberta Court of Queen's Bench decision in Lafarge Canada Inc v Edmonton (City) (found here), which confirmed the risks associated with commencing litigation in the face of an agreement to arbitrate. A claimant that commences litigation, and then has the action stayed as a result of the arbitration clause, may have no recourse to arbitration if the limitation period to commence arbitration has expired in the intervening period. This decision is worth reviewing for any oil and gas industry participant considering a litigation strategy in the face of an agreement to arbitrate.
To read the full bulletin, click here.
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