IN THE MATTER OF THE
ARBITRATION ACT 1996 AND IN THE MATTER OF AN ARBITRATION BETWEEN:
RAIL
TRACK PLC
Claimant
and
GREAT
NORTH EASTERN RAILWAY LIMITED
Respondent
FIRST
AWARD
WHEREAS
(A) The Claimant is the owner and licensed operator of
a network of railway lines in England, Wales and Scotland. The Respondent is a
licensed operator of passenger train services in England, Wales and Scotland.
(B) By a letter of appointment dated 23 August 2001
from Mr Christopher Blackman, the Disputes Secretary of the Access Dispute
Resolution Committee, I, JOHN
MANNERS JARVIS, Queen's Counsel, was duly appointed sole arbitrator for the
detennination, decision and arbitrament of the dispute referred to therein
pursuant to clause 11.1 of the Track Access Agreement between the Claimant and
the Respondent dated 1 April 1995.
.'
(C) The place of arbitration
is London.
(D) The
parties exchanged written submissions in the form of Statement of Claim and
Defence followed afterwards by written outline arguments.
(E) A hearing was held at Citypoint, Ropemaker Street,
London on the 10th and 11 th
December 2001. Both parties
were represented by leading and junior counsel and solicitors. Two volumes of
documents were placed before me together with a bundle of authorities.
(F) I
have listened to the arguments, studied the documents and deliberated on the
issues which I am required to detennine.
NOW THEREFORE I, John Manners Jarvis, HEREBY MAKE AND PUBLISH THIS MY
FIRST AWARD as follows:
(1) For the REASONS which are delivered with
and form part of this Award I declare-
(a) That, on the true construction of the provisions
of the Track Access Agreement neither party to the Agreement can exercise
rights of set-off in support of a refusal or failure to pay amounts that have
been properly calculated and are otherwise due and payable under the Track
Access Agreement.
(b) That the Claimant is, pursuant to clause 15.6 of
the Track Access Agreement, entitled to the payment of interest at the Default
Interest Rate on all amounts due and payable to the Claimant under the Track
Access Agreement from the due date until the date of actual payment by the
Respondent.
(2) This Award is FINAL as to what it decides subject
only to the provisions of the Arbitration Acts. At the request of the parties I
RESERVE for myself the power to make a further Award or Awards in relation to
costs (including the costs of this Award), and all
other matters which I may in
the future may be required to decide pursuant to my
appointment.
GIVEN UNDER MY HAND the 19th
day of February 2002.

John
Jarvis QC
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