Parties Agreed to Submit Questions of Arbitrability to Tribunal, 2nd Cir. Rules

NEW YORK — In adopting the United Nations Commission on International Trade Law Arbitration Rules, the parties to a bilaterial investment treaty agreed to submit questions of arbitrability to arbitration, the 2nd Circuit U.S. Court of Appeals ruled in confirming an award in favor of a German company. Walter Bau AG v. The Kingdom of Thailand, No. 11-1458 (2nd Cir.).

The appellate court held that the District Court should have determined whether there was clear and unmistakable evidence that the parties agreed that the scope of the arbitration agreement would be decided by the arbitrators. Regardless, the appellate court concluded …