In a little-noticed decision handed down just over two years ago, the Norwegian Supreme Court considered the intricate question of whether a foreign arbitral award against a company could become vested with direct effect against the company’s sole shareholder through a 'piercing of the corporate veil'.
In a recent case the Norwegian Supreme Court considered whether an arbitrator can be called as a witness. It also ruled on the extent to which a party's written outline may be used as evidence in an action to annul an arbitration award. The decision partly establishes new references for these issues.
The Arbitration Act 2004 came into force on January 1 2005, coinciding with the repeal of Chapter 32 (Sections 452 to 473) of the Civil Procedure Act. The new act brought clarity to a number of issues and introduced uniform regulation of Norwegian and international arbitration. This update discusses some of the practical changes it made to the law.
The Gulating Court of Appeal recently decided whether there was an arbitration agreement in a case where a lawyer had been asked to decide a dispute. The decision clarifies the situation under the previous legislation and demonstrates that the courts accept, respect and uphold arbitration agreements - even if they are not clearly worded - as long as the legislative conditions are fulfilled.
The Hålogaland Court of Appeal decided recently whether there was an arbitration agreement between a joint ownership and a contractor in a construction dispute. The court confirmed an arbitration agreement existed, even though some circumstances were unclear at the time of entering into a formal agreement.
A recent decision issued by Borgarting Court of Appeal confirmed that the courts must appoint arbitrators unless it is obvious that there are no grounds for arbitration. The court referred to leading Norwegian doctrine and a previous Supreme Court ruling on the issue.
The Gulating Court of Appeal has recently handed down a judgment under the new Arbitration Act 2004. The court addressed the issue of whether an arbitration award could be challenged as invalid. The decision highlighted the fact that the rules on invalidity, which are listed exhaustively in Section 43 of the act, are intended to have limited scope.
Section 30(2) of the Arbitration Act 2004 allows arbitral tribunals to request the European Free Trade Association Court to render an advisory opinion on the interpretation of the European Economic Agreement. Section 30(2) has recently been subject to debate among Norwegian legal scholars.
This update reviews recent developments in Norwegian arbitration law, focusing on the new Arbitration Act. Among other things, in a recent case the issue was whether the case should be resolved on the basis of the former Civil Procedure Act or the Arbitration Act. However, the Gulating Court of Appeal held that it was unnecessary to decide on this question, as no agreement to arbitrate had been entered into.
Before the adoption of the Arbitration Act, the issue of confidentiality in arbitration proceedings remained uncertain. Under the new act, neither the arbitral award nor the information disclosed during the proceedings is confidential unless specifically agreed by the parties. This update reviews the implications of this new feature for Norwegian arbitration practice.
The supplier industry and the oil companies have recently come up with yet another modern set of standard contracts (NF 05, NTK 05 and NTK 05 Mod), thus confirming the industry's focus on dispute resolution. The dispute resolution system can be characterized as a multi-step system involving experts, arbiters and litigation/arbitration
The Supreme Court recently rendered an important decision on the partial setting aside of arbitral awards. Among other things, the court referred to Section 467 of the Civil Procedure Act, which states that an award can be set aside as null and void to the extent of the reasons for its invalidity. The court thus set aside the award only as far as the amount of compensation was concerned.
The Arbitration Act 2004 is based on the United Nations Model Law on International Commercial Arbitration and came into force on January 1 2005. The act governs both domestic and international arbitrations conducted in Norway. It establishes efficient and flexible mechanisms that can be tailored to fit a particular dispute and are harmonized with mechanisms used in international arbitration.
In January 2005 the new Arbitration Act entered into force in Norway. The act, adopted in 2004, provides a legal instrument which establishes a smoother, common and easily accessible way of solving disputes. The new act provides Norway with an adequate method for settling international disputes.