In commercial arbitration, obtaining an award doesn’t mark the end of a dispute; efforts should then turn to the effective enforcement of the award. To encourage timely enforcement and provide certainty for disputants, the enforcement of an arbitral award is typically subject to a statutory limitation period.
In Singapore, section 6(1)(c) of the Limitation Act 1959 (“LA“) provides that any action to enforce an award shall not be brought after the expiration of six years from the date on which the cause of action accrued. In Pacmar Shipping Pte Ltd v South of England Protection and Indemnity Association (Bermuda) Ltd (in liquidation) [2026] SGCA 20, the Singapore Court of Appeal considered key questions relating to the timeline under this limitation period, including: (i) when does the limitation period start to run; and (ii) when does the limitation period stop running?
The dispute involved an arbitral award obtained in favour of the respondent. On the eve of the expiry of the six-year period (calculated with reference to the date of the award), the respondent obtained a court order to recognise and enforce the award. The Court of Appeal upheld the order, finding that the enforcement of the award was not time-barred.
In reaching its decision, the Court clarified that, for purposes of section 6(1)(c) of the LA:
- time should start to run from the date when the award was not honoured; and
- time stops running when the action is commenced.
This Update highlights the key points of the Court’s decision and how to navigate the limitation period for the enforcement of an arbitral award. For more information, click here to read the full Update.
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