The arbiter’s decision: Following a negotiated settlement agreement or a hearing, the arbiter is required to issue a written decision on the issue(s) before the arbiter and also to generally to make written findings explaining the decision, within thirty days of the hearing. In order for the decision to be “enforceable,” an attorney or party must present a “motion” placing the arbitration before the Court and the decision must then be confirmed by a Judge. Keep this in mind when selecting an attorney and drafting the arbitration agreement.
If the arbiter’s decision is confirmed by the Court, the record is then sealed and is unavailable to the public.
Modifying, Appealing, and Enforcing the arbiter’s decision. Some matters are always modifiable by law upon a change of circumstance. Such matters include child support and child custody. Some matters may be modifiable if the parties agree they are modifiable in the arbitration. Such matters include alimony. Other matters are final once they are confirmed by the Court. Such matters include the division of marital assets and marital debts.
State Courts, including courts outside of Pennsylvania, are required to give “full faith and credit” the arbitration award in Pennsylvania – just like any other regular Order of Court.
Appeals to the award can only be made on the basis of an improper procedure. There are no substantive appeals of arbitration awards, except in the case of decisions related to children (such as custody or child support). So, the ability to appeal is extremely limited. This fosters the finality that the arbitration process provides.
Is FLAA arbitration right for me? The FLAA is still new, and it remains to be seen whether the implementation of the FLAA works smoothly. But, based on initial efforts, a few tentative conclusions may already be drawn:
- FLAA arbitration is best designed for some parties who have complex or expensive financial matters or who have financial resources and wish to arbitrate custody. In such cases, the arbitration may avoid some of the pitfalls of a contentious divorce involving numerous legal disputes. In addition, for those who may afford it, avoiding Court or appearing before a “judge” may be incentives to arbitrate. The parties can also set their own schedule and avoid the long waits endemic to the legal system. Finally, an arbitration decision is generally “sealed,” meaning that it is private and unavailable to the public.
- A “standard” amicable divorce can be done more economically then an FLAA arbitration, since the FLAA arbitration process has many steps, and no third-party arbiter is hired.
- FLAA arbitration is not advisable when there is a significant disparity in psychological, financial or legal power between the parties. In such cases, the arbiter cannot “protect” the vulnerable party in the ways that the Court may protect a party.
- Most importantly, it is best to speak to an experienced family law practitioner before deciding on family law arbitration.
