What Labor Arbitrators Should Know About Arbitral Immunity
Dispute Resolution Journal › Vol. 63 Nbr. 4, November 2008
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Dispute Resolution Journal › Vol. 63 Nbr. 4, November 2008
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Most professions face legal consequences for professional negligence. There is no federal statute protecting arbitrators from liability. The Revised Uniform Arbitration Act does give arbitrators immunity to the same extent as judges. The doctrine of arbitral immunity is an extension of judicial immunity. For centuries, courts have recognized that the judicial system could not function if judges could be held liable for their decisions. Since the recognition of judicial immunity by the Supreme Court, judges have invoked that immunity, even in the face of some fairly egregious judicial conduct. Parties who have sued arbitrators have come up with a variety of arguments against applying the doctrine of arbitral immunity. The doctrine of arbitral immunity provides a great deal of safe space within which arbitrators can operate. But it does not immunize those who fail to take their obligations to the parties and to the process seriously.
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What Labor Arbitrators Should Know About Arbitral Immunity
Most professions face legal consequences for professional negligence. This is why professional liability insurance exists. At a recent training program I attended for new labor arbitrators, the trainer suggested that we purchase liability insurance because the number of lawsuits against arbitrators was increasing.1 This was news to many in the room, particularly the non-lawyers, who never imagined that an award upholding a discharge from employment or loss of seniority or a promotion might lead a grievant to go after the arbitrator in court. Coincidently, shortly after I attended that training program, a colleague who has been a labor arbitrator for many years was sued for the first time by a grievant whose termination he had upheld.
There is no federal statute protecting arbitrators from liability. The Revised Uniform Arbitration Act does give arbitrators immunity to the same extent as judges.2 So there is some protection from liability in states that have adopted this model law. In addition, arbitrators are protected by the common law doctrine of arbitral immunity. However, this doctrine will not prevent arbitrators from being sued by dissatisfied arb...See the full content of this document
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