Shaq and Kobe are parties to a business contract containing a binding arbitration clause. A dispute between Shaq and Kobe is sub
mitted to an arbitrator, Pat. After Pat files an award that is in Kobe’s favor, Shaq discovers that Kobe had offered a bribe to Pat which Pat had accepted. Shaq wants to go to court to ask that the arbitration award be overturned. Most likely, Shaq will: a. Not be able to have the award overturned, as the arbitration is binding.
b. Ask that the court overturn the award based on the acceptance of the bribe by Pat.
c. Have to resort to binding mediation.
d. Have to make his appeal to the U.S. Supreme Court.
Most likely, Shaq will ask that the court overturn the award based on the acceptance of the bribe by Pat.
Option - b
<u>Explanation:
</u>
Arbitration is a method to solve quarrels outside the court. The quarrel will be decided by the arbitral tribunal which gives the arbitration award. This award is lawfully compulsory from both the parties and enforceable in the courts.
The court can impose but these awards will be overturned by the court only in special cases. The court will declare void, or ignore to accept an arbitration award if it is a fraud product or misbehavior by the arbitrator.
