Comparative Guides

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Our Comparative Guides provide an overview of some of the key points of law and practice and allow you to compare regulatory environments and laws across multiple jurisdictions.

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4. Results: Answers
International Arbitration
7.
Consolidation and third parties
7.1
Does the law in your jurisdiction permit consolidation of separate arbitrations into a single arbitration proceeding? Are there any conditions which apply to consolidation?
Sweden

Answer ... The Arbitration Act includes no specific rules regarding consolidation. Multi-party disputes must be resolved by the parties on a contractual basis. Hence, if it is possible to predict that potential disputes could concern multiple claimants or respondents, or relate to several arbitration agreements, the parties should take this into account in the arbitration agreement. The parties may also agree on a solution when a dispute has already arisen, although this is often difficult. The Stockholm Chamber of Commerce Rules include rules on multi-party solutions.

For more information about this answer please contact: Sandra Kaznova from Hammarskiold & Co
7.2
Does the law in your jurisdiction permit the joinder of additional parties to an arbitration which has already commenced?
Sweden

Answer ... See question 21.

For more information about this answer please contact: Sandra Kaznova from Hammarskiold & Co
7.3
Does an arbitration agreement bind assignees or other third parties?
Sweden

Answer ... As a general rule, the arbitration agreement can only bind the parties to the agreement. In certain situations, however, an arbitration agreement may also become binding on third parties. Examples of when this can be the case include:

  • a party voluntarily transferring all of its rights and obligations under a contract including an arbitration agreement;
  • a guarantor being bound by an arbitration agreement included in the main contract between creditor and debtor; and
  • a bankruptcy estate being bound by the bankrupt debtor’s arbitration agreement.

However, the circumstances in each case must be considered and can imply that the third party is not bound by the arbitration agreement.

For more information about this answer please contact: Sandra Kaznova from Hammarskiold & Co
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Topic
International Arbitration