The extension of arbitration agreements to third parties through the lens of Egyptian courts

Abstract

Abstract Extending arbitration agreements to third parties has long been a recurring debate in the world of international commercial arbitration. There are various mechanisms by which an arbitration agreement might be extended to third parties. This includes the doctrines of group of companies, group of contracts, universal succession, and assignment of contracts. The fact that the Egyptian Arbitration Law—alike most arbitration laws—does not deal specifically with this issue leaves a gap to be filled by the courts. This article tries to analyse and synthesize the various decisions rendered by the Egyptian courts in an attempt to identify their stance in this area. In this regard, this article will first discuss the privity of contracts from an Egyptian legal perspective, then will delve into the various constructs and mechanisms that could be utilized under Egyptian law when it comes to the extension of arbitration agreements to third parties. Special attention will then be paid to a specific issue, namely the extension of arbitration agreements under a contract to the letters of guarantee issued in connection with the same contract.