Facts
This case concerns an international arbitration between X. Inc., a Panamanian company, and the heirs of B.S., a deceased Swiss national. The shareholders' agreement between the parties contains an arbitration clause providing that disputes would be submitted to an arbitral tribunal sitting in Geneva and composed of at least two arbitrators.
X. Inc. initiated arbitration proceedings against the heirs of B.S. After the two arbitrators appointed by the parties declared themselves incompetent, X. Inc. applied to the Geneva Court of First Instance to appoint a third arbitrator. The court rejected this request, considering that the parties had agreed on a tribunal composed of only two arbitrators.
Considerations
The Federal Tribunal admitted the public law appeal filed by X. Inc. against this decision. It ruled that the interpretation of the Court of First Instance was untenable and arbitrary.
Indeed, the arbitration clause did not precisely fix the number of arbitrators, merely requiring at least two. Therefore, in the absence of a clear agreement by the parties on the limitation to two arbitrators, the Court of First Instance should have applied the principle set…