When does an arbitration agreement bind a third party in English law? | Practical Law
An arbitration agreement is a contract and can only bind, and be invoked by, those persons or entities that are party to it. However, there are circumstances in which third parties, who were not parties to the original agreement, may either be bound by, or take the benefit of, an arbitration agreement. This note considers the situations in which a third party may invoke, or be bound by, an arbitration agreement as a matter of English law, including assignment, novation and statutory provisions.