The recent decision of Clare Ambrose in R v K [2020] EWHC 841 (fam) seeks to clarify the position with regards to appealing an award obtained through arbitration.
The full judgment can be found at: (https://www.bailii.org/ew/cases/EWHC/Fam/2020/841.html)
R brought an appeal against an award made following arbitration from October 2019. R argued that the arbitrator was wrong in his application of the s25 factors in determining the award and that the award itself was plainly wrong in law. K, represented by Counsel David Walden-Smith of 29 Bedford Row (instructed by Nockolds Solicitors), submitted that the arbitration process is final and designed to give parties certainty in their outcome and ultimately to save delay and costs.
On signing the agreement to arbitrate, parties agree to be bound by the arbitrator’s decision, no matter the outcome. Clare Ambrose disagreed with R’s submissions and upheld the award. She explained that the arbitrator had conducted his decision within the discretion of s25 and had correctly applied those factors within the body of his judgment. She went on to confirm that awards in family arbitration are by their very nature distinctly different to awards in the Family Court and therefore sit outside of the standard route for appeal. She explains that parties decide to arbitrate principally for the degree of finality and certainty in the award as opposed to taking their chances with a family judge. She held that the award was no different and dismissed the appeal.
An order was made on the terms of the award as follows:
- K to receive a lump sum of £298,000 from equity available from the family home of £319,000
- A pension sharing order to equalise pension incomes
- Spousal maintenance of £3,500 per month until the child of the family reached the age of 18; and
- R to pay school fees for the child of the family
For more information on the arbitration process please contact Adam Dunkley on 01279 750662 or email adunkley@nockolds.co.uk.