1. Does the Arbitration Agreement Cover Your Injury?
CPLR § 7501 recognizes written agreements covering existing or future disputes. Before proceeding, check who accepted the agreement, which claims it covers, and whether it requires binding arbitration. A clause involving one defendant does not automatically cover claims against everyone involved in an accident.
Consent and Unfair Contract Terms
A signature alone does not resolve every enforceability question. Fraud, duress, or unconscionability may support a challenge, depending on the evidence. Unconscionability generally requires both a lack of meaningful choice during formation and unreasonably one-sided terms; unequal bargaining power alone does not establish it.
When Federal Law Applies
The Federal Arbitration Act generally enforces covered written agreements involving interstate commerce, not merely contracts signed across state lines. Under 9 U.S.C. § 402, a person alleging a qualifying sexual assault or sexual harassment dispute may elect against enforcing a predispute arbitration agreement. This protection applies to disputes or claims arising or accruing on or after March 3, 2022.
2. Responding to an Arbitration Demand
Under CPLR § 7503(c), a properly served demand or notice containing the required information and warning generally triggers a 20-day deadline to seek a stay. Missing that deadline can preclude specified objections concerning the agreement, compliance, or limitations. An ordinary letter mentioning arbitration does not necessarily trigger this statutory period.
What If You Never Agreed to Arbitrate?
A narrow exception may permit a late application when the parties never agreed to arbitrate. In Matter of Fiveco, Inc. . Haber, the New York Court of Appeals distinguished that situation from challenging an existing agreement’s continued validity. The court held the latter challenge untimely in 2008; disagreement with an existing contract does not automatically excuse delay.
3. Preparing Evidence and Attending the Hearing
The agreement and applicable rules usually govern filing, arbitrator selection, and scheduling. Review filing fees, document exchanges, expert deadlines, and any limits on discovery before committing to a procedure. For personal injury claims, organize evidence around responsibility for the accident, the connection to the injury, and the resulting losses.
Medical Records Must Support the Claimed Losses
Treatment records can document an injury, but the presentation should also explain how the accident caused it. Prior medical history, treatment gaps, and conflicting accounts may require clarification. Wage records and medical opinions can support claimed income loss or future care needs without assuming that each requested amount will be awarded.
Hearing Rights and the Written Award
CPLR § 7506 protects the opportunity to present evidence, cross-examine witnesses, and receive representation by an attorney. Discovery may differ from court litigation, but arbitration does not eliminate these hearing rights. Under § 7507, the award must be written, signed, and affirmed; detailed reasoning depends on the agreement and applicable rules.
4. Confirming or Challenging the Award
A binding award resolves the submitted dispute, but it is not automatically a court judgment. Under CPLR § 7510, a party may seek confirmation within one year after delivery. Confirmation followed by judgment entry under § 7514 provides the basis for judgment enforcement if payment remains outstanding.
Limited Review and the 90-Day Deadline
Under CPLR § 7511(a), an application to vacate or modify generally must be made within 90 days after delivery. Grounds include prejudicial fraud, neutral-arbitrator partiality, excess of authority, or qualifying procedural failures. Modification may address calculation or form errors; dissatisfaction with compensation does not itself establish a statutory ground for relief.
Federal Procedures Require a Separate Deadline Check
When FAA § 12 governs the challenge, notice must be served within three months after the award is filed or delivered. Three months should not be treated as interchangeable with 90 days. Before choosing between arbitration and mediation, consider this limited review: binding arbitration produces a decision, while mediation seeks an agreed settlement.
01 Oct, 2026
