MBA / FEATURE
A Primer For Attorneys Serving As Arbitrators In Montgomery County’s Compulsory Arbitration Program “The compulsory arbitration system was adopted in order to alleviate the enormous case load of our trial courts.” Pantoja v. Sprott, 721 A.2d 382, 385 (Pa. Super. 1998). The Superior Court has recognized that “[t]he expeditious disposition of pending litigation is the overall objective of compulsory arbitration.” McGonigle v. Currence, 387 Pa. Super. 511, 564 A.2d 508, 510 (1989). “Compulsory arbitration… is a mechanism designed to remove some of the logjam from the overburdened civil trial courts. The statute governing compulsory arbitration is a single mandate, leaving the procedural, evidentiary and conclusory aspects to be set up by rules of procedure.” Hudson v. Shoemaker, 16 Pa. D. & C.4th 143, 149 (Pa.Com.pl. 1992). Arbitration in Pennsylvania is governed by statute, and the applicable provisions are collected at 42 Pa. C.S. §§ 73017362. Sections 7361 and 7362 concern judicial arbitration, which may be compulsory (7361) or voluntary (7362). The current statute empowers each judicial district to establish its own compulsory arbitration program. The Act enables, rather than requires, the districts to provide for compulsory arbitration. Each district at its option determines by local court rule whether to adopt such a program. The system of compulsory arbitration as we currently understand it was first authorized pursuant to a 1952 amendment of the Act of June 16, 1836. The Court of Common Pleas of Montgomery
SIDEBAR
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County, under the direction of President Judge William F. Dannehower, adopted the modern system of compulsory arbitration in 1955. For nearly 25 years compulsory arbitration operated pursuant to the 1952 statutory framework, at which time the provisions set forth in the Judiciary Act were implemented. In Pennsylvania, a matter may be submitted to compulsory arbitration where the amount in controversy does not exceed $50,000. Compulsory arbitration programs address only civil actions at law that do not involve title to real property, and in Montgomery County actions seeking equitable relief – including actions to quiet title, mandamus, and quo warranto – are further excluded. Arbitrators are held to the standards of judicial conduct provided under the Code of Judicial Conduct. The Code of Judicial Conduct, Rule 2.5., Comment, states: “Competence in the performance of judicial duties requires the legal knowledge, skill, thoroughness, and preparation reasonably necessary to perform a judge’s responsibilities of judicial office.” This article, of course, does not presume to provide all of the information necessary for compliance with Rule 2.5, but is intended as a primer for attorneys who serve, or would like to serve, on a board of arbitrators chosen to hear matters and issues assigned to Montgomery County’s compulsory arbitration program. This article focuses on the rules regarding the qualifications of arbitrators and the conduct of the hearing generally, and offers additional points for consideration. Pa. R.C.P. Nos. 1301-1314 set forth the general rules for compulsory judicial arbitration. They cover the qualification of arbitrators, fundamentals of the hearing, rules of evidence, the award, notice, judgment, molding of the award, the time and form of an appeal from arbitration, and the parties to an appeal.
SPRING 2015