Judgment of the Supreme Court of Sweden, 27 June 2000, Case No. T 12-99/NJA 2000 s. 335
Summary: The appellant challenged a Swedish arbitral award under Section 21 of the 1929 Swedish Arbitration Act (the “1929 Act”), alleging that the tribunal committed an error that affected the outcome of the case by dismissing her set-off defense and denying her request to withhold her claimed amount as collateral. The Supreme Court of Sweden noted that the 1929 Act contains no provisions on set-off defenses and that both the 1929 Act and 1999 Swedish Arbitration Act grant arbitrators broad discretion in managing arbitrations and deciding whether to admit claims and defenses. Because neither the relevant law nor existing case law provided a right to a set-off defense, the court found no error that warranted annulment and denied the challenge.