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1
(and thus no money needs to be paid by either party), or the award is of a
non-monetary nature.
- The effect of setting aside the award may be that; the court may decide to
remit the award to the arbitral tribunal for modification; or the court may by
itself modify the award; or it may set aside the award in whole or part
- There is little jurisprudence on setting aside awards. With respect to setting
aside an award made in breach of public policy, the case of Zamtel v Celtel,
could be illustrative.
- The Supreme Court of Zambia has had the opportunity to pronounce on the
applicability of the UNCITRAL Model Law in Zambia. In the case of China
Henan International Cooperation Group Company Limited v G and G
Nationwide (Z) Limited Appeal No. 199/2016, the Supreme Court held on
pages J26 and J27 of its judgment as follows:
- “When the old Arbitration Act, Chapter 40 of our laws was repealed and
replaced by the Arbitration Act, Zambia chose to adopt the Model Law with
modifications which are contained in the sections in the Arbitration Act. By
this we mean that, the sections in the Arbitration Act vary the application of the
Model Law by substituting certain Articles in the Model Law with the sections
in the Arbitration Act. The First Schedule to the Arbitration Act confirms this
because the articles of the Model Law that are not applicable to Zambia are
clearly indicated as “modified by” specified sections of the Act. The effect of
the foregoing, as we stated in the case of Zambia Revenue Authority v Tiger
Limited and Zambia Development Agency, is that our Arbitration Law is in
effect the Model Law.
- Supreme Court in the case of ZCCM Investment Holdings Plc v Vedanta
Resources Holdings Limited and Konkola Copper Mines Plc Appeal No.
14/2021 cited above went on to hold on page R53 as follows:
- “As the High Court correctly stated in Cash Crusaders Franchising Pvt Ltd v
Shakers and Movers (Zambia) Limited “…The starting point is to recognize
that once the parties have decided to have their dispute adjudicated upon by
way of arbitration, they are in fact saying that they do not wish to avail
themselves of the courts save in the limited circumstances provided by the law.
Further, once an award is rendered, it is binding and enforceable upon the
parties pursuant to section 20 of the Arbitration Act.”
- “We endorsed this position in Savenda Management Services Limited v
Stanbic Bank Zambia Limited.”
- I stand fast on my assertion, in the case of Fratelli Locci SRI Estrazion Minerarie vs.
Road Development Agency, 2016/HC/ARB/04939, that public policy consists of a set of
rules, principles or standards which the Courts consider to be for the wellbeing of the
public at large, which consideration 1s premised on the state's concerns, whether written
or unwritten.
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- The New York Convention ensures that the states party to the
Convention recognize and enforce international arbitration agreements
and foreign arbitral awards issued in other contracting states. The
United Nations Commission on International Trade Law (UNCITRAL)
adopted in 1985 the UNCITRAL Model Law on International
Commercial Arbitration. This provides a model for states to incorporate
in their domestic law. UNCITRAL also published Arbitration Rules
which parties can be used by parties before or after a dispute arises, to
govern the conduct of arbitration.
- It is a consensual, neutral, binding, private and enforceable means of
international dispute resolution, which is typically faster and less expensive than
domestic court proceedings. Unlike domestic court judgments, international
arbitration awards can be enforced in nearly all countries of the world, making
international arbitration the leading mechanism for resolving international
disputes….source: https://www.international-arbitration-attorney.com/what-is-
international-arbitration/
- Thanks to a treaty known as the New York Convention, which entered into force on
7 June 1959, arbitration awards can be enforced in most countries unlike traditional
court judgments.