Appeals

• Author: David A. Allgeyer
• Pages: 135-139

135

Appeals

As we explored in Chapters 18 through 20, the standard for over-

turning an arbitration award—in whole or in part—is tough. It is

not like the standard for an appeal from a trial court judgment,

which is itself pretty tough. The arbitration standard is harder to

meet. Erroneous factual or legal determinations are not enough.

There normally has to be an issue with the integrity of the pro-

cess including a reasonable perception of partiality of the arbi-

trator, refusing to hear material evidence, deciding matters not

submitted to arbitration in the parties’ contract, or presenting

an award that is ambiguous or doesn’t decide all the issues.

ENHANCED APPELLATE REVIEW

Arbitration is a matter of contract. Recognizing that, some law-

yers have sought to change the standard of review of an arbitra-

tion award by contract so that it’s the same as the standard on

appeal of a judgment entered by a court. This could provide the

benefits of arbitration, including a less formal process, the ability

to choose a decision maker, less expense, and other advantages.

But the parties could still take an appeal to address what they

consider to be erroneous factual or legal factual determinations.

This approach showed some promise at first. In 2001, the

Third Circuit, for example, began its analysis of the matter by

recognizing the importance of the parties’ freedom to contract.

It then decided to “[join] with the great weight of authority and

CHAPTER 21