In the recent decision of CBI Constructor’s Pty Ltd v. Chevron Australia Pty Ltd [2023] WASCA 1, Western Australia’s Court of Appeal confirmed the primary judge’s decision to set aside an arbitral award on the basis that, when the award was made, the arbitral tribunal was functus officio (that is, the authority of the tribunal had been completed or exhausted) and on other related legal grounds.
The Court of Appeal’s decision highlights the dangers that can arise in failing to properly advance a case on liability in bifurcated disputes.