Challenges for arbitrators in settlement of disputes

Arbitration is a voluntary process chosen by the parties involved in a dispute, as emphasized by the slogan "Arbitration is the will of the parties." This arrangement grants the parties the authority to appoint or challenge arbitrators based on factors that could impact the arbitrator's impartiality or independence, akin to the "hire and fire" principle in management.

The UNICITRAL model law provides comprehensive guidelines for arbitrator appointment, recognizing the critical nature of this step in ensuring fair and efficient arbitration proceedings. Individuals approached for potential arbitrator appointment are required to disclose any circumstances that might raise doubts about their impartiality or independence. Once appointed, arbitrators are expected to maintain impartiality and independence, promptly informing the parties of any relevant circumstances.

An arbitrator can only be challenged if there are valid reasons, such as justifiable doubts about impartiality or independence, or if the arbitrator lacks qualifications agreed upon by the parties. Parties have the discretion to agree on a challenge procedure, subject to specific provisions in the rules. If no agreement is reached, a party must submit a written challenge within fifteen days of becoming aware of the tribunal's formation or other relevant circumstances.

The arbitral tribunal has the power to decide on a challenge unless the challenged arbitrator withdraws or the other party consents. If the challenge fails, the challenging party can request a court or other specified authority's decision within thirty days of receiving notice of the rejection. Throughout this process, the arbitral tribunal, including the challenged arbitrator, can continue the proceedings and render an award.

The rules acknowledge that certain facts may arise necessitating a challenge, highlighting the importance of maintaining justice and equity in arbitration. Upholding these principles is crucial to preserving the integrity of the arbitration profession and preventing any attempts to exploit it for personal gain. Dr AbdelGadir Warsama Ghalib, a corporate legal counsel, underscores the significance of these regulations in ensuring a fair and transparent arbitration process.