LD 1218
pg. 30
Page 29 of 94 An Act To Enact the Revised Uniform Arbitration Act Page 31 of 94
Download Bill Text
LR 468
Item 1

 
philosophy of arbitration that the parties have chosen
arbitrators to decide the merits of their disputes.

 
3. The approach in RUAA Section 8 that limits a court
ability to grant preliminary relief to any time "[b]efore an
arbitrator is appointed or is authorized or able to act * * *
upon motion of a party" and provides that after the
appointment the arbitrator initially must decide the propriety
of a provisional remedy, avoids the delay of intervening court
proceedings, does not cause courts to become involved in the
merits of the dispute, defers to the parties' choice of
arbitration to resolve their disputes, and allows courts that
may have to review an arbitrator's preliminary order the
benefit of the arbitrator's judgment on that matter. See II
Macneil Treatise §§ 25.1.2, 25.3, 36.1. This language
incorporates the notions of the Salvano case that upheld the
district court's granting of a temporary restraining order to
prevent defendant from soliciting clients or disclosing client
information but "only until the arbitration panel is able to
address whether the TRO should remain in effect. Once
assembled, an arbitration panel can enter whatever temporary
injunctive relief it deems necessary to maintain the status
quo." 999 F.2d at 215. The Salvano court's preliminary remedy
was necessary to prevent actions that could undermine an
arbitration award but was accomplished in a fashion that
protected the integrity of the arbitration process. See also
Ortho Pharm. Corp. v. Amgen, Inc., 882 F.2d 806, 814, appeal
after remand, 887 F.2d 460 (3d Cir. 1989) (stating that court
order to protect the status quo is necessary "to protect the
integrity of the applicable dispute resolution process");
Hughley v. Rocky Mountain Health Maint. Org., Inc., 927 P.2d
1325 (Colo. 1996) (granting preliminary injunction to continue
status quo that health maintenance organization must provide
chemotherapy treatment when denial of the relief would make
the arbitration process a futile endeavor); King County v.
Boeing Co., 18 Wash. App. 595, 570 P.2d 712 (1977) (denying
request for declaratory judgment because the issue was for
determination by the arbitrators rather than the court); N.J.
Stat. Ann. § 2A:23A-6(b).

 
After the arbitrator is appointed and authorized and able to
act, the only instance in which a party may seek relief from a
court rather than the arbitrator is when the matter is an
urgent one and the arbitrator could not act in a timely
fashion or could not provide an effective provisional remedy.
The notion of "urgency" is from the 1996 English Arbitration
Act § 44(1), (3), (4), (6). These circumstances of a party
seeking provisional relief from a court rather than an
arbitrator after the appointment process should be limited for
the policy reasons
previously discussed.

 
4. The case law, commentators, rules of arbitration
organizations, and some state statutes are very clear that


Page 29 of 94 Top of Page Page 31 of 94