(4) An arbitral tribunal may make an order under this section extending the time or period referred to in subsection (1) only if it is satisfied—
- (a) that—
- (i) the circumstances were such as to be outside the reasonable contemplation of the parties when they entered into the arbitration agreement; and
- (ii) it would be just to extend the time or period; or
- (b) that the conduct of any party makes it unjust to hold the other party to the strict terms of the agreement.
(5) An arbitral tribunal may extend the time or period referred to in subsection (1), or the time or period extended under subsection (4), for a further period and on the terms that it thinks fit, and the tribunal may do so even though that time or period or the extended time or period has expired.
(6) This section does not affect the operation of section 14 or any other enactment that limits the period for commencing arbitral proceedings.
(7) The power conferred on an arbitral tribunal by this section is exercisable by the Court if at the relevant time there is not in existence an arbitral tribunal that is capable of exercising that power.
(8) An order of the Court made in exercise of its power conferred by subsection (7) is not subject to appeal.
59. Order to be made in case of delay in pursuing claims in arbitral proceedings
(1) Unless otherwise expressed in an arbitration agreement, a party who has a claim under the agreement must, after the commencement of the arbitral proceedings, pursue that claim without unreasonable delay.
(2) Without affecting article 25 of the UNCITRAL Model Law, given effect to by section 53(1), the arbitral tribunal—
- (a) may make an award dismissing a party’s claim; and
- (b) may make an order prohibiting the party from commencing further arbitral proceedings in respect of the claim,
if it is satisfied that the party has unreasonably delayed in pursuing the claim in the arbitral proceedings.
(3) The arbitral tribunal may make an award or order either—
- (a) on its own initiative; or
- (b) on the application of any other party.
(4) For the purposes of subsection (2), delay is unreasonable if—
- (a) it gives rise, or is likely to give rise, to a substantial risk that the issues in the claim will not be resolved fairly; or
- (b) it has caused, or is likely to cause, serious prejudice to any other party.
