Commentary on provisions of Act Arbitral proceedings and powers of the court Section 7: Power to make award on summary basis
Section 7 of this Act confers express power on arbitrators to make an award on a summary basis to dispose of an issue where an arbitrating party has no real prospect of succeeding on that issue. "Summary basis" means that the tribunal has adopted an expedited procedure to consider whether a party has a real prospect of succeeding on that issue. Inserted section 39A is not mandatory; the parties can agree to disapply it (they can "opt out"). Arbitrators can exercise the power to make an award on a summary basis only upon an application by one of the arbitrating parties. The "no real prospect of success" threshold is the same as that applied in court proceedings in England and Wales. As for the expedited procedure, this is not prescribed by section 7 of this Act but is a matter for the arbitrator to decide on a case-by-case basis; inserted section 39A(3) requires the tribunal to give the parties a reasonable opportunity to make representations about the procedure to adopt.