§ 1-567.58. Rules applicable to substance of dispute. - North Carolina Statutes

§1‑567.58.  Rules applicable to substance of dispute.

(a)        The arbitraltribunal shall decide the dispute in accordance with such rules of law as arechosen by the parties as applicable to the substance of the dispute.  Anydesignation of the law or legal system of a given country or politicalsubdivision thereof shall be construed, unless otherwise expressed, as directlyreferring to the substantive law of that country or political subdivision andnot to its conflict of laws rules.

(b)        Failing anydesignation by the parties, the arbitral tribunal shall apply the lawdetermined by the conflict of laws rules which it considers applicable.

(c)        The arbitraltribunal shall decide ex aequo et bono (on the basis of fundamental fairness),or as amiable compositeur (as an "amicable compounder"), only if theparties have expressly authorized it to do so.

(d)        In all cases, thearbitral tribunal shall decide in accordance with the terms of the contract andshall take into account the usages of the trade applicable to the transaction. (1991,c. 292, c. 761, s. 1.)