Arbitration

The court would not imply, by operation of law, a contract between participants in an organised sport based on the rules that governed that sport. The court could imply such a contract, depending on all the relevant facts and circumstances. So held the Chancery Division in dismissing the defendants’ appeal against the district judge’s dismissal of their application to stay proceedings brought by the claimant footballer against them. The defendant agents and associated companies had applied for a stay on the basis that the dispute should be determined by arbitration, under the Football Association Rules.

The court held that, in circumstances where the express agreements between the relevant parties did not contain arbitration provisions, the defendants had failed to establish an implied agreement that incorporated the FA Rules and that the district judge had been right to refuse to stay the proceedings by reference to s 9 of the Arbitration Act 1996.