BINDING ARBITRATION - Voluntary binding arbitration - Agreement to arbitrate - Submission to arbitration

Law360 Canada (April 12, 2023, 6:38 AM EDT) -- Appeal by Mann and Bains (Appellants) from the judge’s decision, seeking an order reinstating the award of the arbitrator, or alternatively, remitting the matter to the arbitrator. The parties to this appeal were former business partners who engaged in several joint business and real estate ventures. Disputes arose between the appellants and the respondent, Grewal. As a result, the parties decided to separate their business interests. They entered into an agreement to engage in a mediation/arbitration process in order achieve this objective. This process led to a settlement agreement (Agreement) facilitated by the mediator Oppal. While the agreement was intended to resolve all the matters in dispute between the parties, a disagreement subsequently arose over the Gibsons Property (Property). The agreement dealt specifically with the property; however, the parties disagreed on the proper interpretation to be given to the relevant provisions of the settlement. The central issue in dispute was the distribution of sale proceeds from the sale of the property. As required by the agreement, the dispute went to an arbitration before Oppal, who rendered an arbitral award in favour of the appellants. Grewal sought and was granted leave to appeal the award. The chambers judge found that the arbitrator erred in his interpretation of the settlement and in effectively creating a new agreement between the parties. She therefore allowed the appeal and amended the award to favour Grewal. The appellants appealed the judge’s decision, arguing that she erred in her interpretation of the agreement and in failing to remit the matter back to the arbitrator....
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