Does a securities arbitration award have the same legal effect as a judgment in a court of law?

No, a securities arbitration award does not have the same legal effect as a judgment in a court of law. In North Carolina, securities arbitration is a process that resolves disputes between customers and members or associated persons of a broker-dealer, registered investment advisor, or issuer of securities. The dispute is resolved by a neutral arbitrator who renders a final award. The award is binding and is virtually enforceable like a court judgment. However, a securities arbitration award is not the same as a court judgment. A court judgment is granted by a judge in a court of law, whereas a securities arbitration award is made by arbitrators in a non-judicial setting, and is not subject to judicial review. Furthermore, securities arbitration awards are only enforceable in the state where the award was made, whereas court judgments are enforceable in all states. In conclusion, a securities arbitration award is binding and has the same legal effect as a court judgment in the state where the award was issued. However, it does not have the same legal effect as a court judgment in a different state.

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