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July 29, 2014

In seeking to vacate an arbitration award, the moving party must set out the grounds relied upon for setting the award aside


In seeking to vacate an arbitration award, the moving party must set out the grounds relied upon for setting the award aside
2014 NY Slip Op 04451, Appellate Division, First Department

The arbitrator had found the employee [Petitioner] guilty of certain disciplinary charges and had imposed the penalty of a thirty-day suspension without pay. A few months later Petitioner was again served with a notice of discipline and the arbitrator, finding Petitioner guilty of misconduct,  terminated his employmentt.

Petitioner appealed. Supreme Court dismissed his Article 75 petitions seeking to vacate the arbitration awards, which decisions the Appellate Division affirmed.

The Appellate Division explained that Petitioner failed to argue, “let alone set forth, any of the grounds for setting aside an arbitration award.” Further, said the court, Petitioner did not allege an statutory basis for vacating the award such as corruption, fraud or misconduct in procuring the award or partiality of the arbitrators, nor did he allege that the arbitrators exceeded their power, failed to follow the procedure set forth in CPLR Article 75, or that the award is irrational or violates public policy."

In the view of the Appellate Division, “Petitioners' allegations amount to nothing more than a claim that the arbitrators made errors of fact or law which, even if true, does not warrant vacatur of the awards.”

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