Would the enforcement of an unless order issued for the purposes of enforcing a procedural order be tantamount to fashioning a new ground for refusing the enforcement of a foreign arbitral award in contravention of the New York Convention[1] (the “Convention”)? The Singapore Court of Appeal has ruled no. It also considered whether the court should undertake a proportionality assessment in deciding whether to enforce an unless order.
It is now clear that parties cannot assume that just because they have a favourable arbitration award, it is somehow sacrosanct and will be enforced come what may. The recognition and enforcement of the award still depend on compliance on the law and procedures of the enforcement court.
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[1] Convention on the Recognition and Enforcement of Foreign Arbitral Awards (10 June 1958) 330 UNTS 38 (entered into force 7 June 1959, accession by Singapore 21 August 1986)