The consequences of 'Brexit' on international dispute resolution

On 23 June 2016, the United Kingdom (“UK”) voted to leave the European Union (“EU”) (colloquially known as “Brexit”). Following extensions, the target withdrawal date is presently 23:00 GMT on 31 October 2019, although it is unclear whether this deadline will be further extended.

Over what is more than two years now, there has been much political wrangling, but still no clarity as to what will be the final Brexit deal (if any). As politicians have been perceived as ‘kicking the can down the road’ and waiting until the eleventh hour to reach political agreements, this approach does not work well for businesses, who cannot make plans when faced with ever-changing political agreements, often reached late in the day. Businesses have, therefore, adopted differing attitudes towards Brexit – what can be referred to as the proactive, wait-and-see and ostrich approaches. But, whilst some are more prepared than others, Brexit is likely to affect most businesses trading with and between the UK and a Member State of the EU, and such businesses need to be aware of both the risks and opportunities that Brexit presents.

One hot topic for discussion is the consequences of Brexit on international dispute resolution. Why is this important? Because most businesses will end up in a dispute at some point or another and it is through dispute resolution that businesses protect their rights and interests, and need to manage costs, relationships, time and resources. Dispute resolution covers a broad arena of litigation, arbitration, negotiation, mediation, conciliation, adjudication, expert determination, and so on. It is impossible to cover all of these areas in one chapter, so we focus here upon litigation and arbitration; the two core choices of forum, even where alternative forms of dispute resolution are attempted but have been unsuccessful.

Litigation

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Arbitration

Microsoft.CSharp.RuntimeBinder.RuntimeBinderException: Cannot perform runtime binding on a null reference
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   at ASP._Page_Views_Partials_grid_editors_base_cshtml.Execute() in c:\inetpub\Kennedys\Website\Views\Partials\Grid\Editors\Base.cshtml:line 20

Impact of Brexit upon the UK as a Centre for International Dispute Resolution

Microsoft.CSharp.RuntimeBinder.RuntimeBinderException: Cannot perform runtime binding on a null reference
   at CallSite.Target(Closure , CallSite , Object )
   at ASP._Page_app_plugins_doctypegrideditor_render_cacheddoctypegrideditor_cshtml.Execute() in c:\inetpub\Kennedys\Website\App_Plugins\DocTypeGridEditor\Render\CachedDoctypeGridEditor.cshtml:line 24
   at System.Web.WebPages.WebPageBase.ExecutePageHierarchy()
   at System.Web.Mvc.WebViewPage.ExecutePageHierarchy()
   at System.Web.WebPages.WebPageBase.ExecutePageHierarchy(WebPageContext pageContext, TextWriter writer, WebPageRenderingBase startPage)
   at Umbraco.Core.Profiling.ProfilingView.Render(ViewContext viewContext, TextWriter writer)
   at System.Web.Mvc.Html.PartialExtensions.Partial(HtmlHelper htmlHelper, String partialViewName, Object model, ViewDataDictionary viewData)
   at ASP._Page_Views_Partials_grid_editors_base_cshtml.Execute() in c:\inetpub\Kennedys\Website\Views\Partials\Grid\Editors\Base.cshtml:line 20

Conclusion

Microsoft.CSharp.RuntimeBinder.RuntimeBinderException: Cannot perform runtime binding on a null reference
   at CallSite.Target(Closure , CallSite , Object )
   at ASP._Page_app_plugins_doctypegrideditor_render_cacheddoctypegrideditor_cshtml.Execute() in c:\inetpub\Kennedys\Website\App_Plugins\DocTypeGridEditor\Render\CachedDoctypeGridEditor.cshtml:line 24
   at System.Web.WebPages.WebPageBase.ExecutePageHierarchy()
   at System.Web.Mvc.WebViewPage.ExecutePageHierarchy()
   at System.Web.WebPages.WebPageBase.ExecutePageHierarchy(WebPageContext pageContext, TextWriter writer, WebPageRenderingBase startPage)
   at Umbraco.Core.Profiling.ProfilingView.Render(ViewContext viewContext, TextWriter writer)
   at System.Web.Mvc.Html.PartialExtensions.Partial(HtmlHelper htmlHelper, String partialViewName, Object model, ViewDataDictionary viewData)
   at ASP._Page_Views_Partials_grid_editors_base_cshtml.Execute() in c:\inetpub\Kennedys\Website\Views\Partials\Grid\Editors\Base.cshtml:line 20

This article first appeared in The ICLG to: International Arbitration Laws and Regulations, which covers common issues in international arbitration laws and regulations - including arbitration agreements, governing legislation, choice of law rules, selection of arbitral tribunal, preliminary relief and interim measures - in 52 jurisdictions.

Authored by Katherine Proctor, Partner and Alexander Scard, Senior Associate. 

Read other items in Commercial Brief - November 2019