PRINTER'S NO. 116
THE GENERAL ASSEMBLY OF PENNSYLVANIA
INTRODUCED BY GRELL, BLOOM, CUTLER, ROCK, MARSICO, M. K. KELLER, GROVE, PETRI, GIBBONS, MOUL, MILLER, MILNE AND MURT, JANUARY 16, 2013
REFERRED TO COMMITEE ON JUDICIARY, JANUARY 16, 2013
117301. Short title of subchapter.
127302. Scope of subchapter.
137303. Validity of agreement to arbitrate.
147304. Court proceedings to compel or stay arbitration.
157305. Appointment of arbitrators by court.
167306. Action by arbitrators.
177307. Hearing before arbitrators.
187308. Representation by attorney.
17309. Witnesses, subpoenas, oaths and depositions.
27310. Award of arbitrators.
37311. Change of award by arbitrators.
47312. Fees and expenses of arbitration.
57313. Confirmation of award by court.
67314. Vacating award by court.
77315. Modification or correction of award by court.
87316. Judgment or decree on award.
97317. Form and service of applications to court.
107318. Court and jurisdiction.
117319. Venue of court proceedings.
127320. Appeals from court orders.
13§ 7301. Short title of subchapter.
16§ 7302. Scope of subchapter.
17(a) General rule.--An agreement to arbitrate a controversy
18on a nonjudicial basis shall be conclusively presumed to be an
19agreement to arbitrate pursuant to Subchapter B (relating to
20common law arbitration) unless the agreement to arbitrate is in
21writing and expressly provides for arbitration pursuant to this
22subchapter or any other similar statute, in which case the
23arbitration shall be governed by this subchapter.
24(b) Collective bargaining agreements.--This subchapter shall
25apply to a collective bargaining agreement to arbitrate
26controversies between employers and employees or their
27respective representatives only where the arbitration pursuant
28to this subchapter is consistent with any statute regulating
29labor and management relations.
30(c) Government contracts.--This subchapter shall apply to
1any written contract to which a government unit of this
2Commonwealth is a party to the same extent as if the government
3unit were a private person, except that where a contract to
4which the Commonwealth government is a party provides for
5arbitration of controversies but does not provide for
6arbitration pursuant to any specified statutory provision, the
7arbitration shall be governed by this subchapter.
8(d) Special application.--
9(1) Paragraph (2) shall be applicable where:
18(2) Where this paragraph is applicable a court in
19reviewing an arbitration award pursuant to this subchapter
20shall, notwithstanding any other provision of this
21subchapter, modify or correct the award where the award is
22contrary to law and is such that had it been a verdict of a
23jury the court would have entered a different judgment or a
24judgment notwithstanding the verdict.
25§ 7303. Validity of agreement to arbitrate.
26A written agreement to subject any existing controversy to
27arbitration or a provision in a written agreement to submit to
28arbitration any controversy thereafter arising between the
29parties is valid, enforceable and irrevocable, save upon such
30grounds as exist at law or in equity relating to the validity,
1enforceability or revocation of any contract.
2§ 7304. Court proceedings to compel or stay arbitration.
3(a) Compelling arbitration.--On application to a court to
4compel arbitration made by a party showing an agreement
5described in section 7303 (relating to validity of agreement to
6arbitrate) and a showing that an opposing party refused to
7arbitrate, the court shall order the parties to proceed with
8arbitration. If the opposing party denies the existence of an
9agreement to arbitrate, the court shall proceed summarily to
10determine the issue so raised and shall order the parties to
11proceed with arbitration if it finds for the moving party.
12Otherwise, the application shall be denied.
13(b) Stay of arbitration.--On application of a party to a
14court to stay an arbitration proceeding threatened or commenced
15the court may stay an arbitration on a showing that there is no
16agreement to arbitrate. When in substantial and bona fide
17dispute, such an issue shall be forthwith and summarily tried
18and determined and a stay of the arbitration proceedings shall
19be ordered if the court finds for the moving party. If the court
20finds for the opposing party, the court shall order the parties
21to proceed with arbitration.
22(c) Venue.--If a controversy alleged to be or not to be
23referable to arbitration under the agreement is also involved in
24an action or proceeding pending in a court having jurisdiction
25to hear applications to compel or stay arbitration, the
26application shall be made to that court. Otherwise, subject to
27section 7319 (relating to venue of court proceedings), the
28application may be made in any court of competent jurisdiction.
1stayed if a court order to proceed with arbitration has been
2made or an application for such an order has been made under
3this section. If the issue allegedly subject to arbitration is
4severable, the stay of the court action or proceeding may be
5made with respect to the severable issue only. If the
6application for an order to proceed with arbitration is made in
7such action or proceeding and is granted, the court order to
8proceed with arbitration shall include a stay of the action or
10(e) No examination of merits.--An application for a court
11order to proceed with arbitration shall not be refused, nor
12shall an application to stay arbitration be granted, by the
13court on the ground that the controversy lacks merit or bona
14fides or on the ground that no fault or basis for the
15controversy sought to be arbitrated has been shown.
16§ 7305. Appointment of arbitrators by court.
17If the agreement to arbitrate prescribes a method of
18appointment of arbitrators, the prescribed method shall be
19followed. In the absence of a prescribed method or if the
20prescribed method fails or for any reason cannot be followed, or
21when an arbitrator appointed fails to act or is unable to act
22and his successor has not been appointed, the court on
23application of a party shall appoint one or more arbitrators. An
24arbitrator so appointed has all the powers of an arbitrator
25specifically named in the agreement.
26§ 7306. Action by arbitrators.
30§ 7307. Hearing before arbitrators.
3(1) The arbitrators shall appoint a time and place for
4the arbitration hearing and cause written notice thereof to
5be served personally or by registered or certified mail on
6all parties not less than ten days before the hearing.
7Appearance at the hearing constitutes a waiver of such
9(2) The arbitrators may adjourn the hearing from time to
10time as necessary and, on request of a party and for good
11cause, or upon their own motion, may postpone the hearing to
12a time not later than the date fixed by the agreement for
13making the award unless the parties consent to a later date.
14(3) The arbitrators may hear and determine the
15controversy upon the evidence produced at the arbitration
16hearing notwithstanding the failure of a duly notified party
17to appear. On application by a party the court may direct the
18arbitrators to proceed promptly with the hearing and
19determination of the controversy.
23(5) The hearing shall be conducted by all the
24arbitrators but a majority may determine any issue and render
25a final award. If, during the course of the hearing, an
26arbitrator for any reason ceases to act, the remaining
27arbitrator or arbitrators appointed to act as neutrals may
28continue with the hearing and determine the controversy.
1transcript thereof made a part of the record.
2§ 7308. Representation by attorney.
6§ 7309. Witnesses, subpoenas, oaths and depositions.
7(a) General rule.--The arbitrators may issue subpoenas in
8the form prescribed by general rules for the attendance of
9witnesses and for the production of books, records, documents
10and other evidence. Subpoenas so issued shall be served and,
11upon application to the court by a party or by the arbitrators,
12shall be enforced in the manner provided or prescribed by law
13for the service and enforcement of subpoenas in a civil action.
14(b) Depositions.--On application of a party and for use as
15evidence the arbitrators, in the manner and upon the terms
16designated by them, may permit a deposition to be taken of a
17witness who cannot be served with a subpoena or who is unable to
18attend the hearing.
25§ 7310. Award of arbitrators.
26(a) General rule.--The award of the arbitrators shall be in
27writing and signed by the arbitrators joining in the award. The
28arbitrators shall deliver a copy of the award to each party
29personally or by registered or certified mail, or as prescribed
30in the agreement to arbitrate.
1(b) Time limitation.--The award shall be made within the
2time fixed by the agreement or, if not fixed by the agreement,
3within such time as is ordered by the court on application of a
4party. The parties by written stipulation may extend the time
5either before or after the expiration thereof. A party waives
6the objection that an award was not made within the time
7required unless he notifies the arbitrators of his objection
8prior to delivery of the award to him.
9§ 7311. Change of award by arbitrators.
10(a) General rule.--On application of a party to the
11arbitrators, or on submission to the arbitrators by the court
12under such conditions as the court may order if an application
13to the court is pending under section 7313 (relating to
14confirmation of award by court), section 7314 (relating to
15vacating award by court) or section 7315 (relating to
16modification or correction of award by court), the arbitrators
17may modify or correct the award upon the grounds stated in
18section 7315(a)(1) and (2), or for the purpose of clarifying the
20(b) Time limitation.--An application to the arbitrators
21under subsection (a) shall be made within ten days after
22delivery of the award to the applicant. Written notice of
23presentation of the application shall be given forthwith by the
24applicant to all other parties stating that they must serve
25objections thereto within ten days from the date of the notice.
26The award as modified or corrected is subject to the provisions
27of sections 7313, 7314 and 7315.
28§ 7312. Fees and expenses of arbitration.
3§ 7313. Confirmation of award by court.
4On application of a party, the court shall confirm an award,
5unless within the time limits imposed by this subchapter,
6grounds are urged for vacating or modifying or correcting the
7award, in which case the court shall proceed as provided in
8section 7314 (relating to vacating award by court) or section
97315 (relating to modification or correction of award by court).
10§ 7314. Vacating award by court.
11(a) General rule.--
20(iii) the arbitrators exceeded their powers;
21(iv) the arbitrators refused to postpone the hearing
22upon good cause being shown therefor or refused to hear
23evidence material to the controversy or otherwise so
24conducted the hearing, contrary to the provisions of
25section 7307 (relating to hearing before arbitrators), as
26to prejudice substantially the rights of a party; or
27(v) there was no agreement to arbitrate and the
28issue of the existence of an agreement to arbitrate was
29not adversely determined in proceedings under section
307304 (relating to court proceedings to compel or stay
4(2) The fact that the relief awarded by the arbitrators
5was such that it could not or would not be granted by a court
6of law or equity is not a ground for vacating or refusing to
7confirm the award.
8(b) Time limitation.--An application under this section
9shall be made within 30 days after delivery of a copy of the
10award to the applicant, except that, if predicated upon
11corruption, fraud, misconduct or other improper means, it shall
12be made within 30 days after such grounds are known or should
13have been known to the applicant.
14(c) Further hearing.--If the court vacates the award on
15grounds other than stated in subsection (a)(1)(v), the court may
16order a rehearing before new arbitrators chosen as prescribed in
17the agreement to arbitrate. Absent a method prescribed in the
18agreement to arbitrate, the court shall choose new arbitrators
19in accordance with section 7305 (relating to appointment of
20arbitrators by court). If the award is vacated on grounds not
21affecting the competency of the arbitrators under subsection (a)
22(1)(i) through (iv), the court may order a rehearing before the
23arbitrators who made the award or their successors appointed in
24accordance with section 7305. The time period within which the
25agreement requires the original award to be made is applicable
26to the rehearing and commences from the date of the court order
27directing a rehearing.
1§ 7315. Modification or correction of award by court.
13(b) Confirmation of award.--If an application to modify or
14correct the award is granted, the court shall modify and correct
15the award so as to effect its intent and shall confirm the award
16as so modified and corrected. Otherwise, the court shall confirm
17the award as made by the arbitrators.
21§ 7316. Judgment or decree on award.
22Upon the granting of an order of court confirming, modifying
23or correcting an award, a judgment or decree shall be entered in
24conformity with the order. The judgment or decree may be
25enforced as any other judgment or decree. Subject to general
26rules, costs of any application to the court and of the
27proceedings subsequent thereto, and disbursements may be imposed
28by the court.
29§ 7317. Form and service of applications to court.
30Except as otherwise prescribed by general rules, an
1application to the court under this subchapter shall be by
2petition and shall be heard in the manner and upon the notice
3provided or prescribed by law for the making and hearing of
4petitions in civil matters. Unless the parties otherwise agree,
5notice of an initial application for an order of court shall be
6served in the manner provided or prescribed by law for the
7service of a writ of summons in a civil action.
8§ 7318. Court and jurisdiction.
14"Jurisdiction." The making of an agreement described in
15section 7303 (relating to validity of agreement to arbitrate)
16providing for arbitration in this Commonwealth confers
17jurisdiction on the courts of this Commonwealth to enforce the
18agreement under this subchapter and to enter judgment on an
19award made thereunder.
20§ 7319. Venue of court proceedings.
21Except as otherwise prescribed by general rules:
22(1) An initial application to a court under this
23subchapter shall be made to the court of the county in which
24the agreement prescribes that the arbitration hearing shall
25be held or, if the hearing has been held, in the county in
26which the hearing was held.
27(2) If an application to a court cannot be made under
28paragraph (1) the application shall be made to the court in
29the county where the adverse party resides or has a place of
30business or, if he has no residence or place of business in
1this Commonwealth, to the court of any county.
5§ 7320. Appeals from court orders.
6(a) General rule.--An appeal may be taken from:
14(4) A court order modifying or correcting an award.
277321.1. Short title of subchapter.
307321.4. When subchapter applies.
37321.6. Application for judicial relief.
47321.7. Validity of agreement to arbitrate.
57321.8. Motion to compel or stay arbitration.
67321.9. Provisional remedies.
77321.10. Initiation of arbitration.
87321.11. Consolidation of separate arbitration proceedings.
117321.13. Disclosure by arbitrator.
127321.14. Action by majority.
157321.16. Arbitration process.
167321.17. Representation by lawyer.
177321.18. Witnesses; subpoenas; depositions; discovery.
187321.19. Judicial enforcement of preaward ruling by arbitrator.
207321.21. Change of award by arbitrator.
217321.22. Remedies; fees and expenses of arbitration proceeding.
227321.23. Confirmation of award.
237321.24. Vacating award.
247321.25. Modification or correction of award.
307321.30. Uniformity of application and construction.
3§ 7321.1. Short title of subchapter.
6§ 7321.2. Definitions.
10"Arbitration organization." Any association, agency, board,
11commission or other entity, that is neutral and initiates,
12sponsors or administers an arbitration proceeding or is involved
13in the appointment of an arbitrator.
19"Knowledge." Actual knowledge.
20"Person." Any individual, corporation, business trust,
21estate, trust, partnership, limited liability company,
22association, joint venture; a government; a governmental
23subdivision, agency or instrumentality; a public corporation; or
24any other legal or commercial entity.
28§ 7321.3. Notice.
12§ 7321.4. When subchapter applies.
13(a) Subsequent agreements.--This subchapter governs an
14agreement to arbitrate made on or after the effective date of
15this subchapter unless the parties have expressly provided in
16writing to the contrary.
17(b) Prior agreements.--Except as set forth in subsections
18(c) and (d), this subchapter governs an agreement to arbitrate
19made before the effective date of this subchapter if all the
20parties to the agreement or to the arbitration proceeding so
21agree in a record.
26(d) Collective bargaining agreements.--This subchapter shall
27apply to collective bargaining agreements to arbitrate
28controversies between employers and employees or their
29respective representatives only to the extent that the
30arbitration pursuant to this subchapter is consistent with any
1other statute regulating labor and management relations.
4(a) Waiver or variance.--Except as otherwise provided in
5subsections (b) and (c), a party to an agreement to arbitrate or
6to an arbitration proceeding may waive, or the parties may vary
7the effect of, the requirements of this subchapter to the extent
8permitted by law.
22(v) Section 7321.17 (relating to jurisdiction).
23(vi) Section 7321.29 (relating to appeals).
30(4) Waive the right under section 7321.17 (relating to
1representation by lawyer) of a party to an agreement to
2arbitrate to be represented by a lawyer at any proceeding or
3hearing under this subchapter, but an employer and a labor
4organization may waive the right to representation by a
5lawyer in a labor arbitration.
10(1) This section.
21(7) Section 7321.23 (relating to confirmation of award).
22(8) Section 7321.24 (relating to vacating award).
1§ 7321.6. Application for judicial relief.
2(a) Procedure.--Except as otherwise provided in section
37321.29 (relating to appeals), an application for judicial
4relief under this subchapter must be made by motion to the court
5and heard in the manner provided by law or rule of court for
6making and hearing motions.
7(b) Service.--Unless a civil action involving the agreement
8to arbitrate is pending, notice of an initial motion to the
9court under this subchapter must be served in the manner
10provided by law for the service of a summons in a civil action.
11Otherwise, notice of the motion must be given in the manner
12provided by law or rule of court for serving motions in pending
14§ 7321.7. Validity of agreement to arbitrate.
15(a) General rule.--An agreement contained in a record to
16submit to arbitration any existing or subsequent controversy
17arising between the parties to the agreement is valid,
18enforceable, and irrevocable except upon a ground that exists at
19law or in equity for the revocation of a contract.
23(c) Arbitrator decision.--An arbitrator shall decide whether
24a condition precedent to arbitrability has been fulfilled and
25whether a contract containing a valid agreement to arbitrate is
27(d) Challenge to arbitration.--If a party to a judicial
28proceeding challenges the existence of, or claims that a
29controversy is not subject to, an agreement to arbitrate, the
30arbitration proceeding may continue pending final resolution of
1the issue by the court, unless the court otherwise orders.
2§ 7321.8. Motion to compel or stay arbitration.
9(2) if the refusing party opposes the motion, the court
10shall proceed summarily to decide the issue and order the
11parties to arbitrate unless it finds that there is no
12enforceable agreement to arbitrate.
13(b) Agreement challenged.--On motion of a person alleging
14that an arbitration proceeding has been initiated or threatened
15but that there is no agreement to arbitrate, the court shall
16proceed summarily to decide the issue. If the court finds that
17there is an enforceable agreement to arbitrate, it shall order
18the parties to arbitrate.
25(e) Appropriate court.--If a proceeding involving a claim
26referable to arbitration under an alleged agreement to arbitrate
27is pending in court, a motion under this section must be made in
28that court. Otherwise, a motion under this section may be made
29in any court as provided in section 7321.28 (relating to venue).
30(f) Stay of claims alleged subject to arbitration.--If a
1party makes a motion to the court to order arbitration, the
2court on just terms shall stay a judicial proceeding that
3involves a claim alleged to be subject to the arbitration until
4the court renders a final decision under this section.
5(g) Stay of claims subject to arbitration.--If the court
6orders arbitration, the court on just terms shall stay a
7judicial proceeding that involves a claim subject to the
8arbitration. If a claim subject to the arbitration is severable,
9the court may limit the stay to that claim.
10§ 7321.9. Provisional remedies.
11(a) Court.--Before an arbitrator is appointed and is
12authorized and able to act, the court, upon motion of a party to
13an arbitration proceeding and for good cause shown, may enter an
14order for provisional remedies to protect the effectiveness of
15the arbitration proceeding to the same extent and under the same
16conditions as if the controversy were the subject of a civil
20(1) the arbitrator may issue orders for provisional
21remedies, including interim awards, as the arbitrator finds
22necessary to protect the effectiveness of the arbitration
23proceeding and to promote the fair and expeditious resolution
24of the controversy, to the same extent and under the same
25conditions as if the controversy were the subject of a civil
27(2) a party to an arbitration proceeding may move the
28court for a provisional remedy only if the matter is urgent
29and the arbitrator is not able to act timely or the
30arbitrator cannot provide an adequate remedy.
3§ 7321.10. Initiation of arbitration.
4(a) Notice.--A person initiates an arbitration proceeding by
5giving notice in a record to the other parties to the agreement
6to arbitrate in the agreed manner between the parties or, in the
7absence of agreement, by certified or registered mail, return
8receipt requested and obtained, or by service as authorized for
9the commencement of a civil action. The notice must describe the
10nature of the controversy and the remedy sought.
11(b) Lack of notice.--Unless a person objects for lack or
12insufficiency of notice under section 7321.16 (relating to
13arbitration process) not later than at the beginning of the
14arbitration hearing, the person by appearing at the hearing
15waives any objection to lack of or insufficiency of notice.
16§ 7321.11. Consolidation of separate arbitration proceedings.
17(a) Conditions.--Except as otherwise provided in subsection
18(c), upon motion of a party to an agreement to arbitrate or to
19an arbitration proceeding, the court may order consolidation of
20separate arbitration proceedings as to all or some of the claims
22(1) there are separate agreements to arbitrate or
23separate arbitration proceedings between the same persons, or
24one of them is a party to a separate agreement to arbitrate
25or a separate arbitration proceeding with a third person;
1separate arbitration proceedings; and
14(a) Appointment.--If the parties to an agreement to
15arbitrate agree on a method for appointing an arbitrator, that
16method must be followed, unless the method fails. If the parties
17have not agreed on a method, the agreed method fails or an
18arbitrator appointed fails or is unable to act and a successor
19has not been appointed, the court, on motion of a party to the
20arbitration proceeding, shall appoint the arbitrator. An
21arbitrator appointed by the court has all the powers of an
22arbitrator designated in the agreement to arbitrate or appointed
23pursuant to the agreed method.
24(b) Neutral service.--An individual who has a known, direct
25and material interest in the outcome of the arbitration
26proceeding or a known, existing and substantial relationship
27with a party may not serve as an arbitrator required by an
28agreement to be neutral.
29§ 7321.13. Disclosure by arbitrator.
30(a) Preappointment.--Before accepting appointment, an
1individual who is requested to serve as an arbitrator, after
2making a reasonable inquiry, shall disclose to all parties to
3the agreement to arbitrate and the arbitration proceeding and to
4any other arbitrators any known facts that a reasonable person
5would consider likely to affect the impartiality of the
6arbitrator in the arbitration proceeding, including:
13(b) Continuing.--An arbitrator has a continuing obligation
14to disclose to all parties to the agreement to arbitrate and the
15arbitration proceeding and to other arbitrators facts that the
16arbitrator learns after accepting appointment that a reasonable
17person would consider likely to affect the impartiality of the
19(c) Objection.--If an arbitrator discloses a fact required
20by subsection (a) or (b) to be disclosed and a party timely
21objects to the appointment or continued service of the
22arbitrator based upon the fact disclosed, the objection may be a
23ground under section 7321.24(a)(2) (relating to vacating award)
24for vacating an award made by the arbitrator.
25(d) Nondisclosure.--If the arbitrator does not disclose a
26fact as required by subsection (a) or (b), upon timely objection
27by a party, the court under section 7321.24(a)(2) may vacate an
1material interest in the outcome of the arbitration proceeding
2or a known, existing and substantial relationship with a party
3is presumed to act with evident partiality under section
5(f) Procedure to challenge arbitrator.--If the parties to an
6arbitration proceeding agree to the procedures of an arbitration
7organization or other procedures for challenges to arbitrators
8before an award is made, substantial compliance with those
9procedures is a condition precedent to a motion to vacate an
10award on that ground under section 7321.24(a)(2).
11§ 7321.14. Action by majority.
12If there is more than one arbitrator, the powers of an
13arbitrator must be exercised by a majority of the arbitrators;
14but all of them shall conduct the hearing under section
157321.16(c) (relating to arbitration process).
18(a) Immunity.--An arbitrator or an arbitration organization
19acting in that capacity is immune from civil liability to the
20same extent as a judge of a court of this Commonwealth acting in
21a judicial capacity.
24(c) Failure to disclose.--The failure of an arbitrator to
25make a disclosure required by section 7321.13 (relating to
26disclosure by arbitrator) does not cause a loss of immunity
27under this section.
1be required to produce records as to any statement, conduct,
2decision or ruling occurring during the arbitration proceeding,
3to the same extent as a judge of a court of this Commonwealth
4acting in a judicial capacity. This subsection does not apply:
9(2) to a hearing on a motion to vacate an award under
10section 7321.24(a)(1) or (2) (relating to vacating award) if
11the movant establishes prima facie that a ground for vacating
12the award exists.
13(e) Attorney fees and costs.--If a person commences a civil
14action against an arbitrator, arbitration organization or
15representative of an arbitration organization arising from the
16services of the arbitrator, organization or representative or if
17a person seeks to compel an arbitrator or a representative of an
18arbitration organization to testify or produce records in
19violation of subsection (d) and the court decides that the
20arbitrator, arbitration organization or representative of an
21arbitration organization is immune from civil liability or that
22the arbitrator or representative of the organization is not
23competent to testify, the court shall award to the arbitrator,
24organization or representative reasonable attorney fees and
25other reasonable expenses of litigation.
26§ 7321.16. Arbitration process.
27(a) Discretion of arbitrator.--An arbitrator may conduct an
28arbitration in a manner as the arbitrator considers appropriate
29for a fair and expeditious disposition of the proceeding. The
30authority conferred upon the arbitrator includes the power to
7(1) if all interested parties agree; or
12(c) Notice and hearing.--If an arbitrator orders a hearing,
13the arbitrator shall set a time and place and give notice of the
14hearing not less than five days before the hearing begins.
15Unless a party to the arbitration proceeding makes an objection
16to lack or insufficiency of notice not later than the beginning
17of the hearing, the party's appearance at the hearing waives the
18objection. Upon request of a party to the arbitration proceeding
19and for good cause shown, or upon the arbitrator's own
20initiative, the arbitrator may adjourn the hearing as necessary
21but may not postpone the hearing to a time later than that fixed
22by the agreement to arbitrate for making the award unless the
23parties to the arbitration proceeding consent to a later date.
24The arbitrator may hear and decide the controversy upon the
25evidence produced although a party who was notified of the
26arbitration proceeding did not appear. The court, on request,
27may direct the arbitrator to conduct the hearing promptly and
28render a timely decision.
3(e) Replacement.--If an arbitrator ceases or is unable to
4act during the arbitration proceeding, a replacement arbitrator
5must be appointed in accordance with section 7321.12 (relating
6to appointment of arbitrator; service as a neutral arbitrator)
7to continue the proceeding and to resolve the controversy.
8§ 7321.17. Representation by lawyer.
11§ 7321.18. Witnesses; subpoenas; depositions; discovery.
12(a) Subpoenas.--An arbitrator may issue a subpoena for the
13attendance of a witness and for the production of records and
14other evidence at a hearing and may administer oaths. A subpoena
15must be served in the manner for service of subpoenas in a civil
16action and, upon motion to the court by a party to the
17arbitration proceeding or the arbitrator, may be enforced in the
18manner for enforcement of subpoenas in a civil action.
19(b) Depositions.--In order to make the proceedings fair,
20expeditious and cost effective, upon request of a party to or a
21witness in an arbitration proceeding, an arbitrator may permit a
22deposition of a witness to be taken for use as evidence at the
23hearing, including a witness who cannot be subpoenaed for or is
24unable to attend a hearing. The arbitrator shall determine the
25conditions under which the deposition is taken.
26(c) Discovery.--An arbitrator may permit discovery as the
27arbitrator decides is appropriate in the circumstances, taking
28into account the needs of the parties to the arbitration
29proceeding and other affected persons and the desirability of
30making the proceeding fair, expeditious and cost effective.
1(d) Compliance with discovery.--If an arbitrator permits
2discovery under subsection (c), the arbitrator may order a party
3to the arbitration proceeding to comply with the arbitrator's
4discovery-related orders, issue subpoenas for the attendance of
5a witness and for the production of records and other evidence
6at a discovery proceeding and take action against a noncomplying
7party to the extent a court could if the controversy were the
8subject of a civil action in this Commonwealth.
9(e) Protective orders.--An arbitrator may issue a protective
10order to prevent the disclosure of privileged information,
11confidential information, trade secrets and other information
12protected from disclosure to the extent a court could if the
13controversy were the subject of a civil action in this
15(f) Compulsory laws.--All laws compelling a person under
16subpoena to testify and all fees for attending a judicial
17proceeding, a deposition or a discovery proceeding as a witness
18apply to an arbitration proceeding as if the controversy were
19the subject of a civil action in this Commonwealth.
20(g) Enforcement.--The court may enforce a subpoena or
21discovery-related order for the attendance of a witness within
22this Commonwealth and for the production of records and other
23evidence issued by an arbitrator in connection with an
24arbitration proceeding in another state upon conditions
25determined by the court so as to make the arbitration proceeding
26fair, expeditious and cost effective. A subpoena or discovery-
27related order issued by an arbitrator in another state must be
28served in the manner provided by law for service of subpoenas in
29a civil action in this Commonwealth and, upon motion to the
30court by a party to the arbitration proceeding or the
5If an arbitrator makes a preaward ruling in favor of a party
6to the arbitration proceeding, the party may request the
7arbitrator to incorporate the ruling into an award under section
87321.20 (relating to award). A prevailing party may make a
9motion to the court for an expedited order to confirm the award
10under section 7321.23 (relating to confirmation of award), in
11which case the court shall summarily decide the motion. The
12court shall issue an order to confirm the award unless the court
13vacates, modifies or corrects the award under section 7321.24
14(relating to vacating award) or 7321.25 (relating to
15modification or correction of award).
16§ 7321.20. Award.
17(a) Record.--An arbitrator shall make a record of an award.
18The record must be signed or otherwise authenticated by a
19arbitrator who concurs with the award. The arbitrator or the
20arbitration organization shall give notice of the award,
21including a copy of the award, to each party to the arbitration
23(b) Time.--An award must be made within the time specified
24by the agreement to arbitrate or, if not specified in the
25agreement, within the time ordered by the court. The court may
26extend or the parties to the arbitration proceeding may agree in
27a record to extend the time. The court or the parties may do so
28within or after the time specified or ordered. A party waives an
29objection that an award was not timely made unless the party
30gives notice of the objection to the arbitrator before receiving
1notice of the award.
2§ 7321.21. Change of award by arbitrator.
11(3) to clarify the award.
18(d) Pending motion to court.--If a motion to the court is
19pending under section 7321.23 (relating to confirmation of
20award), 7321.24 (relating to vacating award) or 7321.25, the
21court may submit the claim to the arbitrator to consider whether
22to modify or correct the award:
28(3) to clarify the award.
17321.20(a) (relating to award), 7321.23, 7321.24 and 7321.25.
4(a) Punitive damages.--An arbitrator may award punitive
5damages or other exemplary relief if such an award is authorized
6by law in a civil action involving the same claim and the
7evidence produced at the hearing justifies the award under the
8legal standards otherwise applicable to the claim.
9(b) Attorney fees and costs.--An arbitrator may award
10reasonable attorney fees and other reasonable expenses of
11arbitration if the award is authorized by law in a civil action
12involving the same claim or by the agreement of the parties to
13the arbitration proceeding.
14(c) Additional remedies.--As to all remedies other than
15those authorized by subsections (a) and (b), an arbitrator may
16order remedies as the arbitrator considers just and appropriate
17under the circumstances of the arbitration proceeding. The fact
18that a remedy could not or would not be granted by the court is
19not a ground for refusing to confirm an award under section
207321.23 (relating to confirmation of award) or for vacating an
21award under section 7321.24 (relating to vacating award).
25(e) Justification for punitive damages.--If an arbitrator
26awards punitive damages or other exemplary relief under
27subsection (a), the arbitrator shall specify in the award the
28basis in fact justifying and the basis in law authorizing the
29award and state separately the amount of the punitive damages or
30other exemplary relief.
1§ 7321.23. Confirmation of award.
2After a party to an arbitration proceeding receives notice of
3an award, the party must make a motion to the court for an order
4confirming the award, at which time the court shall issue a
5confirming order unless the award is modified or corrected
6pursuant to section 7321.21 (relating to change of award by
7arbitrator) or 7321.25 (relating to modification or correction
8of award) or is vacated pursuant to section 7321.24 (relating to
10§ 7321.24. Vacating award.
16(2) there was:
19(ii) corruption by an arbitrator; or
22(3) an arbitrator refused to postpone the hearing upon
23showing of sufficient cause for postponement, refused to
24consider evidence material to the controversy or otherwise
25conducted the hearing contrary to section 7321.16 (relating
26to arbitration process), so as to prejudice substantially the
27rights of a party to the arbitration proceeding;
28(4) an arbitrator exceeded the arbitrator's powers;
3(6) the arbitration was conducted without proper notice
4of the initiation of an arbitration as required in section
57321.10 (relating to initiation of arbitration) so as to
6prejudice substantially the rights of a party to the
8(b) Time.--A motion under this section must be filed within
930 days after the movant receives notice of the award pursuant
10to section 7321.20 (relating to award) or within 30 days after
11the movant receives notice of a modified or corrected award
12pursuant to section 7321.21 (relating to change of award by
13arbitrator), unless the movant alleges that the award was
14procured by corruption, fraud or other undue means, in which
15case the motion must be made within 30 days after the ground is
16known or by the exercise of reasonable care would have been
17known by the movant.
18(c) Rehearing.--If the court vacates an award on a ground
19other than that set forth in subsection (a)(5), it may order a
20rehearing. If the award is vacated on a ground stated in
21subsection (a)(1) or (2), the rehearing shall be before a new
22arbitrator. If the award is vacated on a ground stated in
23subsection (a)(3), (4) or (6), the rehearing may be before the
24arbitrator who made the award or the arbitrator's successor. The
25arbitrator shall render the decision in the rehearing within the
26same time as that provided in section 7321.20(b) for an award.
30§ 7321.25. Modification or correction of award.
1(a) Grounds.--Upon motion made within 90 days after the
2movant receives notice of the award pursuant to section 7321.20
3(relating to award) or within 90 days after the movant receives
4notice of a modified or corrected award pursuant to section
57321.21 (relating to change of award by arbitrator), the court
6shall modify or correct the award if:
16(b) Court action.--If a motion made under subsection (a) is
17granted, the court shall modify or correct and confirm the award
18as modified or corrected. Otherwise, unless a motion to vacate
19is pending, the court shall confirm the award.
25(a) Judgment.--Upon granting an order confirming, vacating
26without directing a rehearing, modifying or correcting an award,
27the court shall enter a judgment in conformity with the order.
28The judgment may be recorded, docketed and enforced as any other
29judgment in a civil action.
30(b) Court costs.--A court may allow reasonable costs of the
1motion and subsequent judicial proceedings.
2(c) Attorney fees and costs.--On application of a prevailing
3party to a contested judicial proceeding under section 7321.23
4(relating to confirmation of award), 7321.24 (relating to
5vacating award) or 7321.25 (relating to modification or
6correction of award), the court may add reasonable attorney fees
7and other reasonable expenses of litigation incurred in a
8judicial proceeding after the award is made to a judgment
9confirming, vacating without directing a rehearing, modifying or
10correcting an award.
11§ 7321.27. Jurisdiction.
19§ 7321.28. Venue.
20A motion pursuant to section 7321.6 (relating to application
21for judicial relief) must be made in the court of the county in
22which the agreement to arbitrate specifies the arbitration
23hearing is to be held or, if the hearing has been held, in the
24court of the county in which it was held. Otherwise, the motion
25may be made in the court of any county in which an adverse party
26resides or has a place of business or, if no adverse party has a
27residence or place of business in this Commonwealth, in the
28court of any county in this Commonwealth. All subsequent motions
29must be made in the court hearing the initial motion unless the
30court otherwise directs.
1§ 7321.29. Appeals.
2(a) Appealable orders.--An appeal may be taken from:
3(1) an order denying a motion to compel arbitration;
4(2) an order granting a motion to stay arbitration;
7(4) an order modifying or correcting an award;
15§ 7321.30. Uniformity of application and construction.
21The provisions of this subchapter governing the legal effect,
22validity and enforceability of electronic records or electronic
23signatures and of contracts performed with the use of such
24records or signatures conform to the requirements of section 102
25of the Electronic Signatures in Global and National Commerce Act
26(Public Law 106-229, 15 U.S.C. § 7002).
29§ 7341. Common law arbitration.
30The award of an arbitrator in a nonjudicial arbitration which
1is not subject to Subchapter [A] A.1 (relating to statutory
2arbitration) or a similar statute regulating nonjudicial
3arbitration proceedings is binding and may not be vacated or
4modified unless it is clearly shown that a party was denied a
5hearing or that fraud, misconduct, corruption or other
6irregularity caused the rendition of an unjust, inequitable or
8§ 7342. Procedure.
22Section 7318 (relating to court and jurisdiction).
23Section 7319 (relating to venue of court proceedings).
26Section 7321.6 (relating to application for judicial relief).
5Section 7321.27 (relating to jurisdiction).
6Section 7321.28 (relating to venue).
9(b) Confirmation and judgment.--On application of a party
10made more than 30 days after an award is made by an arbitrator
11under section 7341 (relating to common law arbitration), the
12court shall enter an order confirming the award and shall enter
13a judgment or decree in conformity with the order. [Section
147302(d)(2) (relating to special application) shall not be
15applicable to proceedings under this subchapter.]
19Section 5. Subject to 42 Pa.C.S. § 7321.4 of this act, an
20arbitration agreement made before the effective date of this
21section shall be governed by the former provisions of 42 Pa.C.S.
22Ch. 73 Subch. A.
23Section 6. This act shall take effect January 1, 2014.