CHARTER & CHARTER

The parties to this proceeding were Charter & Charter, the applicants, and the respondent, whose identity is not specified in the provided text. The dispute concerned an application for an order under section 10 of the *Commercial Arbitration Act 2011* (NSW) to set aside an arbitral award. The matter came before Brown J of the Supreme Court of New South Wales.

The primary legal issue before the court was whether the arbitral tribunal had exceeded its powers by making an award that included a claim for relief which the parties had not agreed to submit to arbitration. Specifically, the applicants contended that the tribunal had awarded damages for a cause of action that was outside the scope of the arbitration agreement.

Brown J's reasoning focused on the interpretation of the arbitration agreement and the scope of the claims referred to the tribunal. His Honour applied the principles of contractual interpretation to ascertain the parties' intention regarding the matters to be arbitrated. The court considered whether the claim for damages, as awarded, fell within the broad or narrow construction of the dispute resolution clause. His Honour found that the tribunal had indeed gone beyond the matters submitted to arbitration, thereby exceeding its powers as contemplated by section 10 of the *Commercial Arbitration Act 2011* (NSW).

Consequently, Brown J made orders setting aside the arbitral award.