LEGAL PRINCIPLE: ARBITRATION LAW – Setting Aside Award – Award Not Open to Challenge on Law or Facts Where Good on the Face
PRINCIPLE STATEMENT
Where parties choose their own arbitrator as judge in their dispute, they cannot object to the decision on law or facts when the award is good on the face.
RATIO DECIDENDI (SOURCE)
"The general rule is that where the parties choose their own arbitrator to be the judge in the dispute between them, they cannot, when the award is good on the face object to his decision either upon the law or the facts."
EXPLANATION / SCOPE
By voluntarily submitting to arbitration, parties accept the arbitrator’s decision as final on law and facts. “Good on the face” means the award shows no patent defect, legal error, or procedural irregularity apparent from reading it. Parties cannot appeal arbitral decisions on merits—disagreeing with the arbitrator’s factual findings or legal conclusions doesn’t justify setting aside awards. This finality principle reflects arbitration’s purpose: expeditious, binding resolution without court intervention. Limited grounds exist for challenging awards (misconduct, excess of jurisdiction, patent legal error), but substantive disagreement with outcomes isn’t among them. This promotes arbitration’s efficiency and enforces parties’ voluntary choice of dispute resolution forum