Supreme Court of Justice (Portugal) | Annulment and Motivation of the Arbitral Award | 16-03-2017 | Case #004

Supreme Court of Justice 
Date: 16-03-2017
Case Nr. 1052/14.1TBBCL.P1.S1
LINK DGSI

Headlines:
– An arbitral award may only be challenged in an annulment procedure and it is not subject to appeal unless the parties have provided otherwise.
– The grounds for the annulment are set forth in an exhaustive manner and the superior courts are not entitled to revise the merits of the case.
– The arbitral decision is sufficiently grounded when it sets, in a perfectly intelligible and comprehensible manner by the respective recipients, the factual and normative grounds of the decision.

Summary:
1. The Arbitration Act only allows the challenge of the arbitral award via the request for annulment directed to the competent state court – only providing, as a reaction of said award, the appeal path in cases where the parties have agreed on the appeal of the arbitrators’ decision to state courts, assuming the application for annulment – which creates an autonomous procedural form, shaped by the rules of the appellate body in that which is not specifically provided in paragraph 2 of art. 46 of the LAV – verification of one or some of the grounds explicitly provided for in law, bearing, as a rule, the party that makes the request the burden of demonstrating its verification.
2. Such claim does not involve a broad knowledge of the merits of the decision that is intended to be set aside, being the jurisdiction of the state court confined to the verification of the specific desired foundation of annulment, being possible the review of the merits to another arbitral tribunal, even in cases in which the claim to set aside is verified, in accordance with paragraph 9 of Article 46.
3. The arbitral decision is sufficiently grounded when it sets, in a perfectly intelligible and comprehensible manner by the respective recipients, the factual and normative grounds of the decision, making visible the legal logic followed in the resolution of the dispute.

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