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39 Austl. & N.Z. Mar. L.J. 1 (2025)

handle is hein.journals/ausnewma39 and id is 1 raw text is: 


The  High  Court  of Australia  and  Arbitration


   THE HIGH COURT OF AUSTRALIA AND ARBITRATION: KEY INSIGHTS FROM
                          CARMICHAEL, TESSERACT AND CHEVRON

                                 Geoff   Farnsworth* and Meru Sharma**



1.     INTRODUCTION

In 2024, the High Court of Australia handed down judgments  in three cases concerning arbitration:

•      Carmichael  Rail NetworkPty Ltd as Trustee for the Carmichael Rail Network Trust v BBC Chartering Carriers
       GmbH   &  Co KG   & Anor  [2024] HCA   4 (Carmichael),  decided on  14 February 2024,  which dismissed  an
       appeal from the Full Federal Court of Australia

•      Tesseract International Pty Ltd v Pascale Construction  Pty Ltd [2024] HCA   24  (Tesseract), decided on 7
       August 2024, which  allowed an appeal but affirmed the decision of the Court of Appeal of South Australia

•      CBI Constructors Pty Ltd v Chevron Australia Pty Ltd [2024] HCA  28 (Chevron), decided on 14 August  2024,
       which dismissed  an appeal from the Court of Appeal of the Supreme Court of Western Australia.*

These  decisions provide guidance on  arbitration law and practice in Australia1 and shed light on the relationship
between  courts and  arbitration, particularly the extent and limits of judicial intervention. A close review of the
decisions demonstrates the High Court's recognition of its critical role in upholding the binding nature of arbitration
agreements  under section 7 of the International Arbitration Act 1974 (Cth)(International Arbitration Act) (similar to
Article 8 of the UNCITRAL   Model  Law  on International Commercial  Arbitration (Model Law)  and section 8 of the
state Commercial  Arbitration Acts(Arbitration Acts)),2 while simultaneously revealing a diversity in its approach to
intervening in ongoing arbitrations through Article 34 of the Model Law.

Below, we  answer:

•      what 'minimal' curial intervention in arbitration means

•      when  does the High Court of Australia think curial intervention is warranted

•      what is the 'state of arbitration' in Australia

2.     CURIAL INTERVENTION IN ARBITRATION

Minimal  court intervention in arbitration is critical to modern arbitration practice and law as:

•      limiting domestic curial intervention is necessary to maintain the Model   Law's  uniformity with  general
       international arbitration practice

•      minimal  curial intervention is an essential aspect of the principle of party autonomy, which itself is an
       essential basis for the drafting of the Model law.

2.1    MAINTAINING        INTERNATIONAL UNIFORMITY

The Model  Law  is a codification of contemporary international arbitration practice. It reflects worldwide consensus
on key aspects of international arbitration practice having been accepted by States of all regions and the different legal


Partner Holding Redlich
  Lawyer Holding Redlich

  Together, the judgments may serve as authorities for various principles governing arbitrations including principles that relate to the interpretation
of arbitration agreements in cargo damage claims, stay of foreign arbitration for domestic court proceedings, the applicability of proportional
liability regimes in arbitrations, the meaning of law of the land, the manner of adapting or altering the substantive law of the land to fit an
arbitration context, the final and binding character of awards, the status of an arbitrator after a final arbitral award, the jurisdiction/admissibility
distinction', and the Court's standard of review in relation to arbitral awards. The judgments also provide important guidance on multiple aspects
of arbitration practice and procedure, including the drafting of arbitration agreements, the conduct of legal representatives in arbitration, the role of
arbitrators in determining disputes, and the conduct of domestic and international parties engaged in an arbitration.
2 See, eg, section 8 ofthe Commercial Arbitration Act 2010 (NSW).


(2025) 39(1) ANZ  Mar  LJ


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