§ 1297.284.Decision Ex Aequo Et Bono Or Amiable Compositeur
Title 9.3. Arbitration and Conciliation of International Commercial Disputes · Chapter 6. Making of Arbitral Award and Termination of Proceedings · Article 1. Rules Applicable to Substance of Dispute · Enacted 1988 · no amendments on record · Last verified July 29, 2026
Full Text of § 1297.284
Plain-English Summary
Every other rule in this article assumes the tribunal is applying some body of law, whether chosen by the parties or picked by the tribunal itself. This section describes the one real exception: deciding based on what the tribunal considers fair and equitable rather than strict legal rules, sometimes called deciding ex aequo et bono or acting as amiable compositeur.
That kind of equity-based decisionmaking is available only if the parties have expressly authorized it. Silence isn't enough, and an ordinary choice-of-law clause doesn't get there either -- the parties have to specifically empower the tribunal to depart from strict legal rules in favor of its own sense of fairness. Absent that express authorization, the tribunal stays within the choice-of-law framework the earlier sections in this article set out.
Frequently Asked Questions
Can an arbitral tribunal decide a case based purely on what it thinks is fair, instead of applying the law?
Only if the parties have expressly authorized the tribunal to decide ex aequo et bono or as amiable compositeur.
Does choosing a governing law under Section 1297.281 also authorize this kind of equitable decisionmaking?
No. Express authorization for ex aequo et bono decisionmaking is separate from, and doesn't follow automatically from, a designation of governing law.
What happens if the parties never gave this authorization?
The tribunal decides under the ordinary choice-of-law rules in Sections 1297.281 through 1297.283 instead.
Amendment History
Added by Stats. 1988, Ch. 23, Sec. 1. Effective March 7, 1988.