Ascertaining the proper law of an arbitration clause under English law

This paper assesses how the proper law of an arbitration agreement is determined under English law in a case where the parties have stipulated the law of country X to govern the matrix contract and country Y as the seat of arbitration. In such cases, and following the decisions in XL Insurance v Owens Corning, in 2000, and C v D, in 2007, there are two distinct strands in the case-law. This article analyses these two strands and considers how they can best be reconciled (if at all). It also discusses the extent to which English law in this area is compatible with the international practice under the New York Convention of 1958.