Switzerland / 08 February 1978 / Switzerland, Tribunal Fédéral (Federal Tribunal) / X SA v. Y Ltd / P. 217/76
| Country | Switzerland |
| Court | Switzerland, Tribunal fédéral (Federal Tribunal) |
| Date | 08 February 1978 |
| Parties | X SA v. Y Ltd |
| Case number | P. 217/76 |
| Applicable NYC Provisions | V | V(1) | V(1)(b) | V(1)(d) | V(2) | V(2)(b) |
| Source |
Original decision obtained from the registry of the Tribunal Fédéral |
| Languages | English |
| Summary | An International Chamber of Commerce (ICC) award was rendered on 1 October 1973, in The Hague, in favor of Y against X. Y sought enforcement of the award in Switzerland pursuant to Article IV NYC by producing the original award, its sworn translation and the original contract containing the arbitration agreement. X challenged the enforcement on the grounds that the award violated public policy under Article V(2)(b) NYC, as the arbitrators had consulted an expert in the chrome industry in the absence of the parties. The Tribunal de première instance of Geneva (Geneva Tribunal of First Instance) denied enforcement on the ground that the arbitral procedure was not in accordance with the arbitration agreement. On appeal, the Cour de Justice of Geneva (Geneva Court of Appeal) overturned the decision and allowed the enforcement of the award. X appealed, invoking a violation of Articles V(1)(b) and V(1)(d) NYC. The Tribunal Fédéral (Federal Tribunal) confirmed the decision of the Cour de Justice of Geneva and allowed the enforcement of the award. The Tribunal Fédéral confirmed that the NYC was applicable to govern the enforcement procedure of an award rendered in the Netherlands, a State party to the NYC. The Tribunal Fédéral differentiated between Article V(1) NYC, which lists grounds which must be raised by the party opposing enforcement while grounds under Article V(2) NYC may be raised sua ponte by the enforcing court. The Tribunal Fédéral analyzed both Articles V(1)(b) and V(1)(d) grounds under the perspective of public policy and recalled that a violation of public policy could relate to the award itself or to the procedure according to which it has been rendered and that denial of enforcement of an award could be granted only in case of a violation of the fundamental principles of the Swiss legal order. The Tribunal Fédéral held that the fact that the arbitrators sought external and professional advice on the commercial context of the dispute but not on an issue which could bring a solution to the case did not amount to a violation of fundamental principles of Swiss public policy. |
| affirms : |
Attachment (1)
 Original Language Adobe Acrobat PDF |
