Fixing Enforcement? How the 2025 UK Reforms Transform Emergency Arbitration Practice

Emergency arbitration has emerged as a significant procedural development in international arbitration over the past two decades. First introduced in 2006 through the ICDR Rules, well after the Arbitration Act 1996, it has grown in importance as commercial disputes increasingly require urgent interim relief before a full tribunal can be constituted. Jurisdictions worldwide are adapting their legal frameworks to accommodate this mechanism. The UK’s Arbitration Act 2025, which came into force on 1 August 2025, marks a milestone by providing statutory recognition to emergency arbitrators for the first time in English law.

The UK’s Legislative Response

The Arbitration Act 2025 introduces provisions to expressly recognise the authority of emergency arbitrators where parties have agreed to rules providing for their appointment, via amendments to Sections 42 and 44 of the 1996 Act and adding Section 41A, explicitly empowering emergency arbitrators to make peremptory orders. This reform addresses a significant gap in the previous legislative framework, which had remained silent on emergency arbitration.

Under the Arbitration Act 2025, the new section 41A has been inserted after section 41 with the headnote of “Emergency arbitrators”. This section applies upon satisfaction of two conditions: (1) the parties agreed institutional rules include emergency arbitration, and (2) an emergency arbitrator has been appointed in accordance with those rules.

The key aspect of the reform lies in its enforcement mechanism. Section 41A( 2) states: “Unless otherwise agreed by the parties, if without showing sufficient cause a party fails to comply with any order or directions of the emergency arbitrator, the emergency arbitrator may make a peremptory order to the same effect, prescribing such time for compliance with it as the emergency arbitrator considers appropriate”. Previously, only a fully constituted tribunal could issue peremptory orders, requiring parties to wait for its formation and subsequent affirmation of emergency relief, delays that could undermine the purpose of emergency arbitration.

The Arbitration Act 2025 further strengthens the enforcement provision in section 42 by allowing the court to make an order requiring a party to comply with the peremptory order of the emergency arbitrator. This creates a powerful deterrent against non-compliance, as no party wishes to commence formal arbitration proceedings with both a peremptory order and a court order already issued against them.

Alignment with International Practice

The UK’s approach, whilst drawing inspiration from other leading arbitration jurisdictions, adopts a distinctive model that sets it apart from comparable regimes.

In Dubai, the key distinction lies between the ‘onshore’ UAE jurisdiction and the Dubai International Financial Centre (DIFC). The DIFC, a common law free zone, grants emergency arbitrators strong powers under rules like those of the DIAC, closely mirroring the UK’s pro-arbitration stance.  However, for an emergency order to be enforced onshore in Dubai, it often requires a ‘conduit’ enforcement procedure, introducing a level of complexity and potential delay not seen in the UK’s framework.

In India, the Supreme Court’s decision in Amazon.com NV Investment Holdings LLC v Future Retail Ltd confirmed that emergency awards in India-seated arbitrations are enforceable, representing a crucial step forward for emergency arbitration. This judicial recognition complements the UK’s legislative approach, demonstrating a global trend towards greater acceptance and enforceability of emergency arbitrator decisions. The Indian Arbitration and Conciliation Act, 1996 does not yet provide explicit statutory recognition for the enforcement of an emergency arbitrator’s order. Thus, India relies on judicial interpretation to empower the enforcement of emergency awards.

While Dubai and India rely on institutional rules and judicial interpretation to establish the procedure for emergency relief, the Arbitration Act 2025 in the UK uniquely provides a clear, statutory pathway: it both enables the emergency arbitrator to issue the relief under the rules and then explicitly empowers the court to enforce the emergency relief, this is particularly where the uniqueness of the legislation lies.

Practical Implications for London-Seated Arbitrations

The legislation reinforces the status of emergency arbitrators under the LCIA Rules, with Article 9B allowing parties to seek an emergency arbitrator whose role is limited to granting urgent interim relief before the permanent tribunal is formed. From 2019 to 2023, the LCIA received 23 Article 9B applications of which 8 were successful, according to the LCIA’s published statistics. The 2025 Act’s express recognition of emergency arbitrators may encourage greater use of the mechanism under the LCIA Rules.

The emergency arbitrator procedural innovation was amongst the first introduced by the International Centre for Dispute Resolution in 2006; the ICC then adopted the procedure in 2012, and the London Court of International Arbitration (LCIA) in 2014. Twenty-eight emergency arbitrator applications were filed under the International Chamber of Commerce (ICC) Rules in 2023, compared only a handful of filings in the early years (e.g. six in 2013), demonstrating the growing importance of this mechanism in international arbitration practice.

Enforcement Challenges and the New York Convention

As the decision of an emergency arbitrator lacks the finality requirement according to the New York Convention, its enforcement is problematic in different jurisdictions. This fundamental challenge has driven pro-arbitration jurisdictions to adopt express statutory provisions making enforcement easier and more straightforward. The UK’s approach, by empowering emergency arbitrators to issue peremptory orders enforceable by courts, offers a practical solution to this international enforcement challenge for London-seated arbitrations.

Conclusion

Emergency arbitration has become an attractive feature of international dispute resolution, enabling parties to secure urgent interim relief through institutional rules without immediate court involvement. The Arbitration Act 2025 formally recognises emergency arbitrators, empowering them to issue peremptory orders and facilitating applications to court for urgent relief, thereby aligning the statutory framework with the LCIA’s institutional rules.

The Act strengthens the enforceability of emergency decisions in London-seated arbitrations by expanding the statutory tools available to emergency arbitrators and ensuring that their peremptory orders can be enforced by the courts and further consolidates the UK’s position as a leading arbitration jurisdiction. Its clear statutory recognition and enhanced court support reinforce English law’s role in shaping international best practice.

As emergency arbitration continues to expand globally, the UK’s modernised legislative framework provides a compelling model for jurisdictions seeking to update their arbitration laws while maintaining party autonomy, procedural efficiency, and effective enforcement.

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