Glenmont Investments v Royal Agricultural & Horticultural Society SA

Glenmont Investments Pty Ltd (the applicant) sought an order to set aside an arbitration award made in favour of the Royal Agricultural & Horticultural Society of South Australia (the respondent). The dispute concerned a lease agreement between the parties, which contained an arbitration clause. The applicant sought to set aside the award on the grounds of alleged procedural unfairness and apprehended bias on the part of the arbitrator.

The primary legal issue before Gaudron J was whether the arbitration award should be set aside pursuant to section 38(5)(a) of the Commercial Arbitration Act 1986 (SA) on the basis that the arbitrator had misconducted the proceedings or that there had been a denial of natural justice. Specifically, the applicant alleged that the arbitrator failed to give it a proper opportunity to present its case and that the arbitrator exhibited apprehended bias by engaging in ex parte communications with the respondent.

Gaudron J considered the principles of natural justice in arbitration proceedings, emphasizing the right of a party to be heard and to have its case fairly considered. Her Honour reviewed the evidence relating to the alleged procedural unfairness and ex parte communications. Ultimately, Gaudron J found that the applicant had not established that it was denied a proper opportunity to present its case or that there was any actual or apprehended bias on the part of the arbitrator. The applicant's concerns regarding the arbitrator's conduct were found to be unsubstantiated.

The application to set aside the arbitration award was dismissed.