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29 November 2024
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International Commercial Arbitration: Key Highlights From The Recent Appeal No. 49/2016: Unitech Limited v. Cruz City 1 Mauritius Holdings

Phoebus, Christos Clerides & Associates LLC (Clerides Legal)

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Phoebus, Christos Clerides & Associates LLC is a leading Cyprus-based law firm founded in 1950 by Phoebus Clerides, former Minister of Justice and Member of Parliament. His son, Dr. Christos Clerides—graduate of King’s College London and former MP, National Council member, and Cyprus Bar Association President—later led the firm. Now under the third generation—Phoebe Cleridou, Alexandros Clerides, and Constantinos Clerides—the firm upholds its legacy of excellence, specialising in litigation and dispute resolution. For over 75 years, it has represented clients in complex cases across all levels of Cypriot courts. Its practice spans civil, commercial, constitutional, administrative, criminal, and human rights law. The firm also advises on corporate, commercial, contractual, real estate, and banking matters with a focus on dispute prevention. With 16 experienced legal professionals, the firm combines tradition with a client-focused approach, earning a strong reputation for advocacy, integrity, and legal precision.
The recent ruling given on 13/11/2024 addresses the enforcement of a foreign arbitral award issued by the London Court of International Arbitration, shedding light on the interplay...
Cyprus Litigation, Mediation & Arbitration

The recent ruling given on 13/11/2024 addresses the enforcement of a foreign arbitral award issued by the London Court of International Arbitration, shedding light on the interplay between the New York Convention and local laws in Cyprus.

Key Findings:

  1. Application for Enforcement: The respondent sought to enforce the arbitral award under the New York Convention and local legislation (Law 84/1979), aimed at facilitating the recognition of foreign arbitral awards.
  2. Jurisdictional Concerns: The court noted that both parties were foreign companies, raising questions about the authority of local courts to enforce the award, emphasising the need for a balance between national laws and international obligations.
  3. Burden of Proof: The applicant was required to provide necessary documentation, including a certified copy of the award, to establish the case for enforcement.
  4. Primacy of the New York Convention: The court ruled that the New York Convention takes precedence over local law, asserting that local residency or asset presence should not hinder the enforcement of foreign arbitral awards, thus promoting accessibility in international arbitration.
  5. Public Policy: While the court acknowledged public policy as a ground for refusal, it emphasised that this should not undermine the objectives of the New York Convention.
  6. Final Ruling: The appeal was dismissed, as the appellant failed to present valid grounds for overturning the initial enforcement decision, resulting in a cost order of €3,000 to the respondent.

Conclusion

This judgment reinforces the recognition and enforcement of foreign arbitral awards in Cyprus, highlighting the importance of the New York Convention as a guiding principle. It encourages stakeholders in international arbitration to understand both treaty obligations and local laws, ensuring effective protection of their rights in cross-border disputes.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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