Ιn the recent case of CSG v. UC S.R.L. the Limassol District Court was faced with the dilemma of choosing between an arbitration and a litigation clause in the same agreement. Applicable caselaw on the matter suggests that in such cases the arbitration clause will prevail unless there are compelling reasons suggesting the opposite. Nevertheless, following a very interesting analysis of various factual and legal issues, the court concluded that the true intention of the parties was to litigate and that the arbitration clause in the agreement served only as an alternative dispute resolution method which could only be used if both parties agreed to it.
For a more in-depth analysis of this topic, please refer to our forthcoming article titled “Arbitration v. Litigation: the intention of the parties”.
The full article can be viewed on Lexology.and Mondaq.
For more information, please reach out to Chrysanthos Christoforou or Maria Keliri