Withdrawal of a Plea of the [Non-]Existence of an Arbitration Agreement in Proceedings on the Annulment of an Arbitral Award

Decision of the Supreme Court No III CZP 29/09 of 4 June 2009

Rationes Decidendi:

It is permissible for the respondent to withdraw a plea of the [non-] existence of an arbitration agreement in the course of appeal proceedings against a decision of the court of first instance which ruled on the plea.
In relation to the withdrawal of a plea of the [non-]existence of an arbitration agreement, the provisions of the Code of Civil Procedure do not provide for the requirement of a judicial review, as is the case with the withdrawal of an action (Article 203 § 4 k.p.c. [POL]). The respondent’s procedural act consisting of the withdrawal of a plea of the [non-]existence of an arbitration agreement is therefore assessed by the court in the same way as it would consider any other procedural act by a party to the proceedings.
A plea of the existence of an arbitration agreement may be withdrawn by the respondent only to until such time as this act would result in legal consequences associated with such an act by law. Such a consequence is the dismissal of the action by a court if the plea is justified, or the dismissal of the plea if it is found to be unfounded or late by a court. The moment at which the decision to dismiss or reject the dismissal of an action becomes final is the crucial factor, not the moment when such a decision is issued.

keywords
arbitration agreement
existence of arbitration agreement
non-existence of arbitration agreement
appeal proceedings
withdrawal of a plea
respondent
court of first instance
court of second instance
procedural act
judicial review
withdrawal of an action
assessment of procedural act
legal consequence
justification of plea
lateness of plea
lack of foundation of plea
dismissal of an action
about the authors

Univ. Professor, Dr.iur., Mgr., Dipl. Ing. oec/MB, Dr.h.c. Lawyer admitted and practising in Prague/CZE (Branch N.J./US), Senior Partner of the Law Offices Bělohlávek, Dept. of Law, Faculty of Economics, Ostrava, CZE, Dept. of Int. and European Law, Faculty of Law, Masaryk University, Brno, CZE (visiting), Chairman of the Commission on Arbitration ICC National Committee CZE, Arbitrator in Prague, Vienna, Kiev etc. Member of ASA, DIS, Austrian Arb. Association. The President of the WJA – the World Jurist Association, Washington D.C./USA.

e-mail: office@ablegal.cz


Mgr. Tomáš Řezníček (*1978) works as a legal trainee in the Law Offi ces of Bělohlávek, Prague, Czech Republic. Graduated from the Law Faculty of Charles University in Prague in 2007, also absolved foreign studies at the Law Faculty of Jagiellonian University in Krakow. Coauthor of various articles with prof. A. Bělohlávek published in professional periodicals in the Czech Republic. Field of interest: Commercial Law, Private International Law, Pharmaceutical Law.

e-mail: tomas.reznicek@ablegal.cz