By Leon Chung, Guillermo Garcia-Perrote and Samara Cassar
The Supreme Court of New South Wales has recently confirmed that, in Australia, the relevant test for challenges to the independence or impartiality of arbitrators is the ‘real danger of bias’ test, rather than the lower threshold of the ‘reasonable apprehension of bias’ test applicable at common law.
TAKEAWAY
Challenges to the independence or impartiality of arbitrators face a high bar in Australia. The relevant test requires a ‘real danger of bias’, which should be determined objectively based on existing circumstances (and not an evaluation of future matters or possibilities).
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