Thursday, March 10, 2016

A party seeking to modify an arbitration award must comply with the relevant provisions of Article 75 of the Civil Practice Law and Rules


A party seeking to modify an arbitration award must comply with the relevant provisions of Article 75 of the Civil Practice Law and Rules
Board of Educ. of the City Sch, Dist. of the City of New York (DOE) v United Fedn. of Teachers, 2016 NY Slip Op 01592, Appellate Division, First Department

Supreme Court vacated a supplemental arbitration award; the Appellate Division unanimously affirmed the lower court’s ruling. The Appellate Division said the Supreme Court had “properly vacated the supplemental arbitration award because the parties failed to comply with the procedure set forth in CPLR 7509.”

§7509 permits a modification of an arbitration award by arbitrator[s] and requires that the party seeking the modification to apply for it within 20 days of the delivery of the award by submitting a written application to the arbitrator.* A copy of the application must be served on the other parties to the arbitration.

In the event there is any objection to the modification requested, the objecting party or parties must served the objection on the  arbitrator[s]  and  other parties to the arbitration within ten days of receiving the request for the modification.

Addressing another issue, the Appellate Division found that the arbitrator had exceeded his powers by "rendering wholly new determinations on matters not addressed in the original award."

* In addition a party involved in the arbitration may ask a court to modify an arbitration award as permitted by §7511(c) of the CPLR.

The decision is posted on the Internet at:
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