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Navigating regulatory challenges in data centres
Businesses investing in, financing or operating data centres face a complex matrix of laws and regulatory requirements.
Singapore | Publication | January 2025
The Singapore Court of Appeal (SGCA) has held that non-participating parties cannot challenge arbitral awards on grounds that the tribunal failed to determine an issue.
The respondent entered into an agreement to acquire a franchised enrichment centre (Agreement) from sellers including the applicant. A dispute arose and the respondent commenced arbitration. The applicant did not participate. The tribunal issued a final award finding for the respondent.
The applicant applied to the Singapore High Court (SGHC) to set aside the award arguing, among other things, that he had not received proper notice of the arbitration, and that the arbitrator failed to consider whether the Agreement was supported by consideration (Consideration Issue). The SGHC dismissed the application, finding that the applicant had proper notice and the tribunal implicitly dealt with the Consideration Issue. The applicant appealed.
The SGCA dismissed the appeal, finding:
Of particular interest is the cautionary note for parties, which, having received notice of an arbitration, elect not to proceed. Notably, they will be unable to challenge the award on the basis a particular issue was not considered.
Case:
DEM v DEL [2025] SGCA 1 (3 January 2025) (Sundaresh Menon CJ, Steven Chong JCA and Belinda Ang Saw Ean JCA)
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