Singapore CA Confirms Validity Of Unilateral Option To Arbitrate Clause

Singapore Court of Appeal confirms the validity of “unilateral option to arbitrate” clauses

Courts regularly face the situation where a contract grants a right to only one of the parties to arbitrate.

Herbert Smith Freehills review the Singapore Court of Appeal’s 2017 decision in Wilson Taylor Asia Pacific Pte Ltd v Dyna-Jet Pte Ltd [2017] SGCA 32, where the CA confirmed that the Singapore courts will enforce a dispute resolution clause which gives only one party the option to arbitrate and clarified the requirements and threshold for a stay of proceedings to be granted under section 6 of the Singapore International Arbitration Act.

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About Phillip Rompotis

Phillip practices as a barrister and arbitrator in Hong Kong. He has over 25 years’ litigation and arbitration experience in commercial disputes relating to construction & engineering, financial services, joint venture & shareholders agreements, technology, trusts, property and landlord & tenant. He is a Fellow of the Chartered Institute of Arbitrators, the Singapore Institute of Arbitrators, the Malaysian Institute of Arbitrators, and a member of various lists/panels of arbitrators.

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