CYPRUS: INHERENT JURISDICTION OF CYPRIOT COURT TO STAY ENFORCEMENT PROCEEDINGS OF AN ARBITRAL AWARD

In the leading Appellate case, Attorney General of The Republic of Kenya -v- Bank Fur Arbeit & Wirtschaft AG (1999), the Supreme Court of Cyprus held inter alia, that Cypriot Courts do have inherent jurisdiction to stay or suspend the enforcement proceedings of an arbitral award, provided that there are strong grounds for granting such stay, in order to prevent injustice.

The Cypriot Appellate Court adopted and followed the American appellate case Hewlett Packard Co Inc. -v- Hedge Berg & Others, in which the American Appellate Court had decided inter alia to stay the enforcement and recognition proceedings of an arbitral award, pending the outcome of the 2nd Arbitration Proceedings, between the same parties, but also dismissed a request to allow set-off of a claim, which was the subject to the 2nd Arbitrations Proceedings.

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articles | 18 July 2019 | Soteris Pittas & Co LLC