Two Pakistani business partners in London agreed that if they ever had a falling-out, they would appoint Ismaili Muslim arbitrators. The falling-out arrived, and one of them chose a Jew to arbitrate. This isn’t the beginning of a joke. It’s the outline of a case that, England’s arbitral leaders fear, could hasten the end of London as a leading center of international arbitration.
When Nurdin Jivraj objected that Sadruddin Hashwani’s choice violated their arbitration clause, Hashwani creatively countered that the arbitration clause violated English employment law. Under U.K. regulations, it’s unlawful (with certain exceptions) to refuse employment on grounds of religion.
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