Page:1902 Encyclopædia Britannica - Volume 25 - A-AUS.pdf/599

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ARBITRATION the appointment of an arbitrator after the submission had been made a rule of court might be attached. The Arbitration Act, 1889, provides that a submission, unless a contrary intention is expressed in it, is irrevocable except by leave of the court or a judge, and is to have the same effect in all respects as if it had been made an order of court. The object of this enactment was to save the expense of making a submission a rule of court by treating it as having been so made, and it leaves the law in this position, that while the authority of an arbitrator, once appointed, is irrevocable, there is no power—any more than there was under the old law—to compel an unwilling party to proceed to a reference, except in cases specially provided for by sections 5 and 6 of the Act of 1889. The former of these sections deals with the power of the court, the latter with the power of the parties to a reference, to appoint an arbitrator in certain circumstances. Section 5 provides that where a reference is to be to a single arbitrator, and all the parties do not concur in appointing one, or an appointed arbitrator refuses to act or becomes incapable of acting, or where the parties or two arbitrators fail, when necessary, to appoint an umpire or third arbitrator, or such umpire or arbitrator when appointed refuses to act, or becomes incapable of acting, and the default is not rectified after seven clear days’ notice, the court may supply the vacancy. Under section 6, where a reference is to two arbitrators, one to be appointed by each party, and either the appointed arbitrator refuses to act, or becomes incapable of acting, and the party appointing him fails, after seven clear days’ notice, to supply the vacancy, or such party fails, after similar notice, to make an original appointment, a binding appointment (subject to the power of the court to set it aside) may be made by the other party to the reference. The court may compel parties to carry out an arbitration not only in the above cases by directly appointing an arbitrator, &c., or by allowing one appointed by a party to proceed alone with the reference, but also indirectly by staying any proceedings before the legal tribunals to determine matters which come within the scope of the arbitration. The court will generally stay proceedings where the agreement to refer stipulates that the submission of a dispute to arbitration shall be a condition precedent to the right to bring an action in regard to it. On the other hand, the court will refuse to interfere if the subject matter of the litigation falls outside the scope of the reference, or there is some serious objection to the fitness of the arbitrator, or some other good reason of the kind exists. An arbitrator (and the following observations apply mutatis mutandis to an umpire after he has entered on his duties) has power to administer oaths to, or take the affirmations of the parties and their witnesses; and any person who wilfully gives false evidence before him may be prosecuted and punished for perjury. At any stage in the reference he may, and shall if he be required by the court, state in the form of# a special case for the opinion of the court any question of law arising in the arbitration. The arbitrator may also state his award in whole or in part as a special case, and may correct in an award any clerical mistake or error arising from an accidental slip or omission. The costs of the reference and the award are in his discretion, and he has a lien on the award and the submission for his fees, for which, apparently— unless upon an express promise to pay them—he cannot sue. If there is no express provision on the point in the submission, an award under the Arbitration Act, 1889, must be made within three months after the arbitrator has entered on the reference, or been called upon to act by notice in writing from any party to the submission.

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The time may, however, be extended by the arbitrator or by the Court. An umpire is required to make his award within one month after the original or extended time appointed for making the award of the arbitrators has expired, or any later day to which he may enlarge it. The court may by order remit an award to the arbitrators or umpire for reconsideration, in which case the reconsidered award must be made within three months after the date of the order. An award may be set aside where the arbitrator has misconducted himself (an arbitrator may also be removed by the court on the ground of misconduct), or where it is ultra vires, or the arbitrator has been wilfully deceived by one of the parties, or some such state of things exists. Otherwise it is final. An award may, by leave of the court, be enforced in the same manner as a judgment or decree to the same effect. Under the Stamp Act, 1891, duties ranging from 3d. up to £1, 15s. are payable on awards in England or Ireland. Provisions for the arbitration of special classes of disputes are contained in many Acts of Parliament (see, e.g., the Local Government Acts, 1888 and 1894, and the Workmen’s Compensation Act, 1897). It may also be noted here that the Conciliation Act, 1896, provides machinery for the prevention and settlement of trade disputes, and that in 1892 a chamber of arbitration for business disputes was established by the joint action of the Corporation of the City of London and the London Chamber of Commerce. II. References under Order of Court.—The court or a judge may refer any question arising in any cause or matter to an official or special referee, whose report may be enforced like a judgment or order to the same effect. This power may be exercised whether the parties desire it or not. The official referees are salaried officers of court. The remuneration of special referees is determined by the court or judge. An entire action may be referred, if all parties consent, or if it involves any prolonged examination of documents, or scientific or local examination, or consists wholly or partly of matters of account. Scotland.—The law of arbitration has been modified by the Arbitration (Scotland) Act, 1894. An agreement to refer to a person not named or to be named by another person, or to the holder for the time being of any office, is now valid. The court (i.e., any lord ordinary of the Court of Session or sheriff) may appoint an arbiter, on the failure of one of the parties on whom the obligation rests to concur in or make such an appointment. Where arbiters differ in opinion, they, or (if they fail to agree on the point) the court, on the application of either party, may nominate an oversman whose decision is to be final. The provisions of the English Arbitration Act, 1889, have in substance been adopted by. the Indian Legislature (see Act No. 9 of 1899), and by many of the Colonies (see, e.g., Act No. 13 of 1895, Western Australia; No. 24 of 1898, Natal; No. 20 of 1899, Bahamas). United States.—Arbitration is ordinarily conducted out of court, but in most States an agreement to settle a controversy in this way may be filed in court, and enforced by its authority. There are also statutes of the United States providing facilities for adjusting disputes between certain classes of employers and workmen in this way. The United States law allows arbitration proceedings between corporations engaged in commerce, between the States and their employees, to take place before official arbitrators and at the public expense (30 United States statutes at large, 424). Authorities.-—Russell, Arbitration, London, 1900 ; Annual Practice, London, 1901.—Redman, Arbitration, London, 1897. —Crewe, Arbitration Act of 1889, London, 1898. As to Scots Law, Green’s Encyclopccdia of Scots Law, vol. i. s.v. “ Arbitration,” Edinburgh, 1896. /, w 1?