Switzerland:
Swiss Federal Supreme Court's Decision Regarding A Set-Aside Claim
26 May 2021
Pekin Bayar Mizrahi
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In its decision 4A_332 / 2020 of April 1, 2021, the Swiss
Federal Supreme Court dealt with a set-aside motion in respect of
the replacement of an arbitrator who was alleged to be biased.
When the former arbitrator resigned due to the allegations
raised against them and the replacement arbitrator was appointed,
the respondent sought the repetition of the procedural steps taken
up until the resignation, on the basis that the process was
tainted. However, the tribunal proceeded with trial and entered an
award. In the set-aside action, the Swiss Federal Supreme Court
dismissed the motion, by holding that the newly constituted
tribunal was not under the duty to repeat the procedural steps
taken before the resignation of the former arbitrator.
The decision is welcome as being yet another one where the Swiss
Federal Supreme Court upheld the validity of an arbitral award.
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