Introduction

5.1. Factors influencing the granting of security for costs taking into account the total circumstances have evolved over 230 years1 from the single determinant of the claimant’s foreign residence to factors that are logically probative of the claimant’s ability and willingness to pay an adverse costs order, and whether ordering security is just in all the circumstances.2 Because it involves the exercise of a discretion, the factors are not fixed or closed.3 It is reasonable to assume that LCIA tribunals take these factors into account, following the approach of the UK courts when they had the power from 1934 to 1997, and given the relatively high number of applications and their success in LCIA arbitrations.