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9 U.S.C. § 10Same; vacation; grounds; rehearing

submitted 79 years ago by ch. 392 to r/title-9-ARBITRATION · 247 words · no verdicts yet

in plain englishAI-generated · not legal advice

A court can cancel an arbitration award in certain cases. These include fraud, biased arbitrators, unfair hearings, or arbitrators overstepping their power. The court can also order a new arbitration hearing.

(a) The U.S. court for the district where an award was made can vacate that award, if a party to the arbitration applies and any of four things happened: (1) someone got the award through corruption, fraud, or other improper means; (2) there was clear bias or corruption in one or more of the arbitrators; (3) the arbitrators misbehaved -- for example, by refusing to postpone the hearing when there was good reason to, or by refusing to hear evidence that mattered to the case -- or committed some other misconduct that hurt a party's rights; or (4) the arbitrators went beyond their authority, or handled it so poorly that they never produced a final, clear, and mutual decision on the matter submitted to them. (b) If the court vacates the award, and the agreement's deadline for making an award has not yet passed, the court has discretion to order the arbitrators to hold a new hearing. (c) For an award issued under section 580 of title 5, the U.S. district court for the district where it was made can vacate it upon request of someone who was not a party to the arbitration but who is hurt or aggrieved by the award. This applies only if using arbitration, or the award itself, clearly conflicts with the factors listed in section 572 of title 5.
the actual law source: uscode.house.gov ↗public domain
(a)

In any of the following cases the United States court in and for the district wherein the award was made may make an order vacating the award upon the application of any party to the arbitration—

(1)

where the award was procured by corruption, fraud, or undue means;

(2)

where there was evident partiality or corruption in the arbitrators, or either of them;

(3)

where the arbitrators were guilty of misconduct in refusing to postpone the hearing, upon sufficient cause shown, or in refusing to hear evidence pertinent and material to the controversy; or of any other misbehavior by which the rights of any party have been prejudiced; or

(4)

where the arbitrators exceeded their powers, or so imperfectly executed them that a mutual, final, and definite award upon the subject matter submitted was not made.

(b)

If an award is vacated and the time within which the agreement required the award to be made has not expired, the court may, in its discretion, direct a rehearing by the arbitrators.

(c)

The United States district court for the district wherein an award was made that was issued pursuant to section 580 of title 5 may make an order vacating the award upon the application of a person, other than a party to the arbitration, who is adversely affected or aggrieved by the award, if the use of arbitration or the award is clearly inconsistent with the factors set forth in section 572 of title 5.

Source credit: (July 30, 1947, ch. 392, 61 Stat. 672; Pub. L. 101–552, § 5, Nov. 15, 1990, 104 Stat. 2745; Pub. L. 102–354, § 5(b)(4), Aug. 26, 1992, 106 Stat. 946; Pub. L. 107–169, § 1, May 7, 2002, 116 Stat. 132.)

history & why it existsrecord from the source credit
  • 1947Enacted · Act of July 30, 1947, ch. 392 · 61 Stat. 672
  • 1990Amended · Pub. L. 101-552 · 104 Stat. 2745
  • 1992Amended · Pub. L. 102-354 · 106 Stat. 946
  • 2002Amended · Pub. L. 107-169 · 116 Stat. 132

A history note hasn’t been published yet. The record shows enactment by ch. 392 on 1947-07-30.

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