Amicable Compositor

What is an amicable compositor? What is the different in compare with an arbitrator?

Arbitrators exercising the kinds of powers described in Mamidoil are still arbitrating according to "law". Arbitrators may only depart from legal principles where they are expressly authorised by the parties to do so. Such arbitrations are known as "ex aequo et bono" or "equity" arbitrations, or the tribunal is said to be acting as an "amiable compositeur".

An arbitrator who has been instructed to act as an "amiable compositeur" has a choice. He can apply rules of equity in place of strict rules of law (as long as this is not contrary to rules of public order). Alternatively, the arbitrator can apply a rule of law - provided, however, that he shows that the rule of law in question is equally in conformity with principles of equity. Importantly Hanin is a reminder that an arbitrator who is to act as "amiable compositeur" has not been given an unfettered discretionary power, but rather has been expressly instructed by the parties how to act.