Eleventh Circuit strongly endorses finality of arbitration

The United States Court of Appeals for the Eleventh Circuit, in B. L. Harbert International, LLC v. Hercules Steel Co., Case No. 05-11153 (11th Cir. Feb. 28, 2006), in a non-reinsurance case, strongly endorsed the finality of arbitration under the Federal Arbitration Act, by affirming the confirmation of an arbitration award (and the denial of a motion to vacate the award). The Court obviously believed that the Appellant appealed merely because it disagreed with the arbitration decision. The Appellant contended that the arbitration award reflected a manifest disregard for the law, which the Court held was an exceptional circumstance requiring clear evidence that an arbitrator was conscious of the law and deliberately disregarded it. Concluding that the proof did not come close to satisfying this standard, the Court considered imposing sanctions on Appellant for the appeal, voicing a strong disapproval for continuing arbitration proceedings through post-award court challenges.

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