Are there any limitations on the remedies that can be awarded in an arbitration?

Yes, there are limitations on the remedies that can be awarded in an arbitration in South Dakota. According to South Dakota law, the remedies that an arbitrator may award in an arbitration are limited to economic relief, which includes compensatory damages, punitive damages, and attorney’s fees. The remedies must be related to the dispute being arbitrated and must not be contrary to public policy. The arbitrator is not empowered to make any award of non-economic relief, such as injunctive relief or declaratory relief. An arbitrator cannot award relief that is not requested in the arbitration demand, or that is not justified by the record before the arbitrator. The arbitrator also cannot award relief that exceeds the scope of the arbitration agreement. This means that if the parties have agreed to arbitrate only certain types of disputes, the arbitrator cannot award relief for disputes that are outside of the scope of the agreement. Additionally, an arbitrator cannot award punitive damages in an arbitration, unless all parties agree to it in advance. Punitive damages may be awarded in an arbitration only if the parties specifically agree to it in the arbitration agreement and include it in the arbitration demand. Finally, the arbitrator’s award in an arbitration is limited by the South Dakota statutes and the governing law that applies to the dispute. The arbitrator must make an award that is consistent with South Dakota law and the terms of the arbitration agreement.

Related FAQs

What is a Model International Commercial Arbitration clause?
Are there any special considerations for securities arbitration?
What is a motion to stay proceedings pending arbitration?
What do I need to know about arbitration before I enter into it?
How do I select an arbitrator?
Are there any special requirements for an arbitration agreement?
How do I challenge an arbitration award in court?
What is the definition of “party autonomy” in arbitration?
What is the arbitration clause in a contract?
What does it mean to be in contempt of arbitration?

Related Blog Posts

Unlocking the Basics of Arbitration Law: What You Need to Know - July 31, 2023
Top Tips for Navigating Arbitration Law Successfully - August 7, 2023
Comparing International and Domestic Arbitration: What Businesses Should Know - August 14, 2023
Effective Strategies for Drafting Arbitration Agreements - August 21, 2023
Common Misconceptions About Arbitration Law: What Everyone Needs to Know - August 28, 2023