Arbitration is one of the most used alternative dispute resolution methods by businesses. You might be surprised to know that finishing an arbitration doesn’t always mean the conflict is fully resolved. There are still steps that need to be taken afterward. It’s important to know what to do next, whether to follow the arbitration decision or challenge it if needed.
1. Understanding the Arbitral Award
At the end of the proceedings, the arbitrator issues a written decision, known as the “arbitral award.” This award is a document which contains the arbitrator’s decision on the dispute. It is final and binding unless it is subsequently challenged under the relevant statutory provisions. Parties must understand the award, take note of the obligations that arise out of it and any deadlines attached. Understanding the award will help the parties make further decisions which would be in their interest.
2. Enforcing the Award
If a party refuses to follow the award, the other party can ask the High Court to enforce it. To do this, they must submit a copy of the award and the arbitration agreement. Once the court approves it, the award becomes a High Court judgment, and legal steps can be taken to make sure it is followed.
3. Challenging the Award
A party may challenge an arbitral award in some instances, such as fraud, corruption, arbitrator misconduct, or serious procedural mistakes. To do this, they must file an application at the High Court.
4. Negotiating a Settlement
If enforcing the award takes too long or is too expensive, the parties may choose to negotiate a settlement instead. They can agree on solutions like payment plans, avoiding the need for more legal action.
Arbitration in Ghana is meant to be a quick, private, and effective way to settle disputes. However, legal responsibilities may continue even after the process ends. Parties may need to enforce or challenge the award to fully resolve the dispute. Seeking legal advice can help ensure the right steps are taken to protect one’s rights and interests.
Philipa N. A. Sima Nuamah on behalf of OSD and Partners. [email protected]
