Extension of time in commencement of arbitration proceedings

Abstract

Arbitration may be defined as a method of settling disputes and differences between two or more parties. The high court has power with respect to the appointment of arbitrator and umpires, revocation of their authority at the instance of the parties to an arbitration agreement or otherwise and to make consequential orders, to grant an extension of time for making an award by the arbitrator or for the commencement of arbitration proceedings under an arbitration agreement which has a time limit clause. The objective of this study is to identify the circumstances that to the court will give an extension of time for commencing of arbitration proceedings. In this study, the core reason for the court to grant an extension of time for commencement of arbitration proceedings is to relieve the parties if the undue hardship that might be caused by time-limit clauses in the agreement. This research is based on the arbitration cases that was brought to the court. Acquisition of case information is through "Malaysian Law Journal (MLJ)". However, the cases involved are analysed and studied through the requirements needed for extension of time. According to the study, the cases that meet the requirements for an extension of time will be awarded by the court to extend the time for commencing of court proceedings. The requirement for approving extension of time include the length of the delay, the amount at stake, the degree of blameworthiness, the plaintiff misled and the delay no prejudice to defendant.