August 17, 2010

Delay in issuing arbitration decision did not constitute misconduct by the arbitrator within the meaning of Article 75 of the CPLR

Delay in issuing arbitration decision did not constitute misconduct by the arbitrator within the meaning of Article 75 of the CPLR
Squillini v State of New York, App. Div., 248 A.D.2d 391

Michael A. Squillini, a maintenance supervisor, was served with disciplinary charges alleging “theft and deceit.” The arbitrator issued a decision on December 20, in which he found Squillini guilty of the charges and imposed the penalty of dismissal.

Squillini contended that he had agreed to an extension of time for issuing the arbitration award through November 17, but the award was issued more than a month after that. This delay, Squillini said, constituted misconduct by the arbitrator within the meaning of Article 75 of the Civil Practice Law and Rules.

Squillini attempted to vacate the arbitration award alleging misconduct based on the arbitrator’s delay in his issuing the award.

The Appellate Division rejected Squillini’s petition to vacate the award, finding that “the arbitrator’s actions did not constitute misconduct.”

Further, said the court, “the arbitration award ... sustaining the penalty of dismissal from employment for theft and deceit, does not violate a strong public policy and is not irrational.”