The appellants appealed an arbitrator's costs award under section 45 of the Arbitration Act, 1991.
The arbitrator had awarded the respondent its full legal expenses, including fees paid to its corporate counsel for 'litigation support'.
The court first determined that leave to appeal an arbitral costs award is not required under section 133(b) of the Courts of Justice Act, as that provision applies only to courts.
On the merits, the court found that the arbitrator did not err in principle or act plainly wrong in awarding full indemnity costs, noting that the Arbitration Act does not bind arbitrators to the scales of costs in the Rules of Civil Procedure.
The court also upheld the arbitrator's decision to allow recovery of the litigation support fees.
The appeal was dismissed.