Dermot Ahern (Louth, Fianna Fail)

The motivation is to bring together the elements of previous arbitration legislation and developments that have taken place internationally to bring them into line with the model law. From a purely strategic point of view, the motive for having on our statute books the most up to date and streamlined arbitration legislation possible is to allow Ireland to be used as a location for international arbitration. The various bodies involved in arbitration in this country would share the view that Ireland's English speaking and well educated workforce, location within Europe and availability of technology and telecommunications might allow it to become a centre of excellence in arbitration.

In regard to the specific problem of an arbitrator acting in bad faith, such a person is in effect put into a position similar to that of a judge and must operate on that basis. The law requires an arbitrator to disclose any circumstances which would give rise to justifiable doubts as to his or her impartiality or independence before being appointed to a case and on an ongoing basis after appointment. A failure to disclose can result in an appointment being challenged and the removal of the arbitrator. The idea of arbitration is to allow parties to come together on an equal footing and if one party feels deprived of that opportunity it can of course apply to have the award set aside.

Immunity is required if the arbitral process is to function properly and if arbitrators are not to be intimidated by threats of personal liability. Arbitration is intended to provide a final decision in relation to disputes and claims against arbitrators should not be used as a pretext for rehearing a dispute. The Bill contains safeguards designed to provide remedies for parties where serious irregularities attach to the arbitral process. The Bill as currently drafted adheres to the best international practice laid down by the ICC. By aligning ourselves to that body, we are making Ireland more attractive as a location for international arbitration.

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