What happens if a party fails to comply with a securities arbitration award?

If a party fails to comply with a securities arbitration award in North Carolina, the non-compliant party may face penalties due to its inaction. The North Carolina Securities Division may take enforcement action against the noncompliant party and impose a monetary penalty or other sanction upon the party for its failure to abide by the arbitration award. For example, the North Carolina Securities Division may issue a cease-and-desist order or a fine if it determines that the noncompliant party’s actions warrant such a punishment. In addition, the non-compliant party can also face liability to the other party. Under North Carolina state law, if a party fails to comply with the terms of an arbitration award, the aggrieved party may file a lawsuit and seek a court order to enforce the award. The non-compliant party can be held accountable for any damages that may have been caused by its failure to comply with the award. Furthermore, the noncompliant party may be found in contempt of court by a North Carolina judge. This means that the party has disobeyed a court order and could face serious consequences, such as fines, jail time, or other sanctions. In short, a party’s failure to comply with a securities arbitration award in North Carolina can have serious repercussions. In order to avoid such penalties, it is important to follow the terms of the award in a timely manner.

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What happens if a party fails to comply with a securities arbitration award?

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