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Arbitration and Insolvency: English and Swiss Perspectives

February 2009

75 Arbitration 47-55 Chartered Institute of Arbitrators

In arbitration, just as in litigation, the insolvency or potential insolvency of a party is a

reasonably regular occurrence. Of course, this is not surprising given the nature of the
proceedings and, often, the high sums and stakes involved. As a matter of course, therefore,
lawyers reading this article are likely to be broadly familiar with insolvency mechanisms and
to have encountered occasions when matters of insolvency have affected an arbitration. The
purpose of this article is to summarize the law and the effects of insolvency on arbitration
and present an analysis of the position in England and Switzerland. It will also consider
some insolvency-related problems the tribunal and counsel may encounter during the course
of an arbitration.
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