Uncertainty in dispute resolution clauses

Where a dispute arises under a contract, the parties must attempt to settle that dispute through the procedure set out in the dispute resolution clause (DRC). Sometimes, one party considers that this procedure cannot be followed, or does not adhere to the procedure, and instead initiates proceedings in court to resolve the dispute. Where this occurs, the other party to the contract can apply to the court for a stay of those proceedings in order to force the litigious party to fall back upon the contractual procedure. The court’s power to award a stay is discretionary.

The party opposing the stay must persuade the court that there are good grounds for the court to exercise its discretion to allow the court action to proceed and so preclude the contractual mode of dispute resolution. This can be discharged only by showing that, in the particular case, the dispute is not amenable to resolution by the contractual mechanism the parties have chosen. One of these grounds is that the DRC is void for uncertainty…

If you are registered and logged in to the site, click on the link below to read the rest of the DLA Piper briefing. If not, please register or sign in with your details below.

Sign in or Register to continue reading this article

Sign in

Register

It's quick, easy and free!

It takes just 5 minutes to register. Answer a few simple questions and once completed you’ll have instant access.

Register now

Why register to The Lawyer

 

Industry insight

In-depth, expert analysis into the stories behind the headlines from our leading team of journalists.

 

Market intelligence

Identify the major players and business opportunities within a particular region through our series of free, special reports.

 

Email newsletters

Receive your pick of The Lawyer's daily and weekly email newsletters, tailored by practice area, region and job function.

More relevant to you

To continue providing the best analysis, insight and news across the legal market we are collecting some information about who you are, what you do and where you work to improve The Lawyer and make it more relevant to you.

Briefings from DLA Piper

View more briefings from DLA Piper

Analysis from The Lawyer

View more analysis from The Lawyer

Overview

3 Noble Street
London
EC2V 7EE
UK
http://www.dlapiper.com

Turnover (£m): 1,566.29
No. of lawyers: 3,961 (UK 200)
Jurisdiction: global
No. of offices: more than 75
No. of qualified lawyers: 625 (International 50)

Jobs