QUESTION
Re: Commerical Arbitration - If a Claimant fails to pay the fees prior to a scheduled hearing, can the Respondent pay such fees so the hearing occurs?
Asked on Aug 16th, 2015 on Business Litigation - New York
More details to this question:
My Company was involved in a litigation that started with our being sued in the Federal Court. The case was moved into binding Arbitration - but I - as Claimant in the Arbitration - was unable to pay my fees. The hearings went forward without payment from me. Is it legal for the Respondent or another third party to pay Claimant's fees so that the Arbitration hearings move forward?
1 ANSWER
Yes. The arbitration company wants to be paid and won't perform its arbitration services if it isn't paid. It doesn't care from whom. If you lose, you might challenge the award on the basis of bias, i.e. that the arbitrators were biased in favor of the respondent because the respondent paid all of the fees, but I doubt that argument would succeed, especially since you could have avoided any such bias by paying the fees you owed.
Answered on Aug 17th, 2015 at 3:34 PM