Court of Appeal Confirms Cross-Appeal Rights in Arbitration Cases
Businesses that include arbitration clauses in their contracts often do so expecting a faster and more private resolution than court litigation. What they do not always anticipate is how unforgiving the procedural rules become if an arbitration award needs to be challenged. Sinclair v. T.D.M.C. Holdings Ltd., 2025 BCCA 322 is a useful reminder of exactly how tight those timelines are.
The BC Court of Appeal clarified a point of procedural uncertainty: a party who wants to cross-appeal an arbitration decision is not bound by the 30-day appeal period in BC's Arbitration Act. They are governed by the 15-day cross-appeal rule in the Court of Appeal Rules, running from the date they are served with the original appeal. The decision also overturns earlier uncertainty created by comments in Desert Properties Inc. v. G&T Martini Holdings Ltd., 2024 BCCA 24.
For businesses operating in BC with arbitration clauses in their contracts, the decision is both clarifying and cautionary. The rules are now clearer. The margin for error remains extremely narrow.
What happened
An arbitral award was issued on May 28, 2025. The losing party applied for leave to appeal within 30 days as required by section 60 of BC's Arbitration Act. The opposing party then filed a cross-appeal 17 days after the original appeal was served, which placed the cross-appeal outside the 30-day window but within 15 days of service of the original appeal.
The appellant argued the cross-appeal was out of time and should be dismissed. The Court of Appeal disagreed.
Justice Groberman held that the 30-day deadline in section 60 of the Arbitration Act governs the original appeal from an arbitration award. But a cross-appeal is a different procedural step, and it is governed by Rule 9 of the Court of Appeal Rules, which gives a responding party 15 days from being served with the appeal to file a cross-appeal.
The cross-appeal was filed 17 days after the arbitral award but within 15 days of service of the original appeal. It was therefore within time. The Court confirmed that the 30-day Arbitration Act deadline does not apply to cross-appeals and that the two deadlines operate independently.
This also resolved uncertainty left by the earlier decision in Desert Properties Inc. v. G&T Martini Holdings Ltd., 2024 BCCA 24, where comments had created doubt about whether the statutory appeal period displaced the cross-appeal rules entirely. Sinclair confirms it does not.
Missing either deadline requires a court application to extend time. In the arbitration context, where the entire point is finality, extensions are not routinely granted. The practical implication is that both parties need litigation counsel engaged and reviewing the award immediately after it is issued, not after they receive notice that the other side has appealed.
Why this matters for businesses using arbitration clauses
Arbitration clauses appear in a wide range of commercial contracts: joint venture agreements, commercial leases, supplier contracts, shareholder agreements, and franchise agreements. Businesses insert them expecting a faster and more private alternative to court litigation. What Sinclair illustrates is that once an arbitration award is challenged, the proceedings become technically demanding appellate litigation governed by strict procedural rules.
The timelines are tight and the consequences of missing them are severe
Thirty days to appeal an arbitration award and 15 days to cross-appeal once served are short windows, particularly where the award is complex and the legal grounds for challenging it require careful analysis. Both clocks start running from dates outside the losing party's control: the date of the award and the date of service of the opposing appeal. These deadlines need to be diarised immediately and litigation counsel instructed immediately, not after internal deliberation about whether to proceed.
Appeals from arbitration are strictly limited to questions of law
Under section 60 of BC's Arbitration Act, leave to appeal an arbitral award is only available on a question of law. Courts do not interfere with an arbitrator's findings of fact or mixed questions of fact and law. This significantly narrows the grounds on which an award can be challenged. A party who believes the outcome was wrong on the facts has effectively no avenue of appeal: the arbitration process is designed to be final on factual matters.
Procedural errors can be fatal regardless of the merits
The entire Sinclair proceeding turned on whether the cross-appeal was filed within the correct window. Had the court found it was out of time, the cross-appeal would have been dismissed on procedural grounds without any assessment of its underlying merits. This is the consistent message from BC appellate courts in the arbitration context: the procedural rules are not flexible, and a meritorious argument cannot save a late filing.
Knowing the award has been appealed triggers your cross-appeal clock
A party who is served with an appeal of an arbitration award has 15 days to decide whether to cross-appeal. This requires an immediate review of the award to identify whether there are grounds worth pursuing on the cross-appeal, briefing counsel on the issues, and making a strategic decision about whether filing a cross-appeal serves the party's interests. Fifteen days is not long for that analysis. It reinforces the need for counsel to be familiar with the arbitration record before the appeal is filed by either side.
Lost an arbitration in BC or just been served with an appeal of an arbitration award?
The 30-day appeal window and the 15-day cross-appeal window are already running. Missing either deadline requires a court application that is not routinely granted. Get legal advice today, not next week.
Call: 1-800-771-7882 Get Advice on Your Appeal Deadline NowWhat this means for arbitration clauses in commercial contracts
Businesses that use arbitration clauses to manage dispute resolution risk need to factor the appellate framework into how those clauses are drafted and how they plan for disputes. Three practical points arise from Sinclair.
First, the finality that makes arbitration attractive cuts both ways. An arbitration award that goes against you is very difficult to challenge on the merits. Courts in BC will only grant leave on questions of law and they apply that limitation strictly. If the arbitrator got the facts wrong, there is almost no recourse. This is a known risk of arbitration that parties sometimes underestimate when drafting the clause.
Second, the short appeal timelines mean that planning for an appeal cannot wait until after the award is issued. Counsel familiar with the arbitration record needs to be ready to advise immediately. A party that has to retain new counsel, get them up to speed on a complex arbitration, and make an appeal decision within 30 days is at a significant disadvantage compared to one whose counsel has been involved throughout.
Third, reviewing the arbitration clause itself before a dispute arises is worthwhile. Some clauses specify that arbitration is final and binding with no right of appeal, which eliminates the appeal risk entirely. Others are silent on the point, leaving the statutory framework to govern. For high-value commercial relationships, the appeal provisions in the clause deserve explicit attention. For related considerations in structuring these agreements, see our guide on alternative dispute resolution in Ontario and BC.
Using arbitration clauses in your commercial contracts or dealing with an arbitration award in BC?
The procedural framework governing arbitration appeals in BC is technical and unforgiving of delays. Get advice before the clock runs out.
Find Out Where You Stand Or call us: 1-800-771-7882Practical takeaways
Dealing with an arbitration award or appeal in BC? Tell us what's happening.
Whether you are assessing grounds to appeal a BC arbitration award, have just been served with an appeal and need to decide about a cross-appeal, or want to review the arbitration provisions in your commercial contracts, Achkar Law advises businesses and organizations across British Columbia on civil litigation and appellate procedure. The timelines in arbitration appeals move fast. Get advice before the deadline passes.
Call us at 1-800-771-7882 or fill out the form below and we will be in touch.