No automatic right of appeal without express reservation in arbitration agreement: The case of SMB Bank (Kenya) Limited v Afrasia Bank Limited [2025]

 In a recent landmark decision, the Court of Appeal in SMB Bank (Kenya) Limited v Afrasia Bank Limited [2025] KECA 386 (KLR) ruled that there is no automatic right of appeal to the Court of Appeal from a High Court decision under Section 39 of the Arbitration Act, unless expressly reserved in the arbitration agreement.

This ruling emphasises the need for clear and specific provisions in arbitration agreements regarding the right to appeal. Without such provisions, any appeal to the Court of Appeal requires leave to be granted.

This decision reinforces the principle that the arbitration process must maintain finality unless there are exceptional circumstances for appeal.