Relates to an application for relief in aid of arbitration in a city court

BILL NUMBER:S4594

Title of bill

An act to amend the uniform city court act, in relation to an application for relief in aid of arbitration in a city court

This is one in a series of measures being introduced at the request of the Chief Administrative Judge upon the recommendation of her Local Courts Advisory Committee.

This measure establishes a new section 206 for the Uniform City Court Act to authorize a City Court to confirm, vacate, or modify an arbitration award, and determine the question of the arbitrability of a controversy in an action commenced in a City Court outside New York City.

Currently, the Uniform City Court Act places a significant restriction on the relief that can be granted by City Courts in aid of arbitration. Section 206 of that Act limits the City Court to entering "judgment on the award of the arbitrators."

The effect of this limiting language has been underscored by a number of courts which have interpreted this language as meaning that a City Court does not have the authority to confirm, vacate, or modify an arbitration award. See Worldwide Asset Purchasing, LLC, v. Carter, 17 Misc.3d 1132(A), 2007 WL 170845 (Plattsburgh City Court 2007); MBNA America Bank, N.A. v. Cae, 2 Misc.3d 355 (White Plains City Court 2003). Both courts based their respective decisions on a comparison of section 206 with analogous provisions in the New York City Civil Court Act and the Uniform District Court Act, both of which expressly confer on those respective courts the authority to confirm, vacate, or modify an arbitration award.

This measure, which adopts the language in section 206 of the Uniform District Court Act, would expressly confer upon City Courts the jurisdiction to grant relief in aid of arbitration set forth in the CPLR, such as confirmation of the award (CPLR 7510), vacating or modifying an award (CPLR 7511), protecting the right to arbitration of a pmiy to an agreement who becomes deceased or otherwise incompetent (CPLR 7512), authorizing inclusion of the arbitrator's fees and expenses in the arbitration award (CPLR 7513), and entering judgment on the award (CPLR 7514). In addition, this measure would also expressly authorize City Courts to determine the question of the arbitrability of a controversy in an action commenced in City Court. Finally, this measure would continue to authorize the rules of the City Court to provide for "systems of arbitration and conciliation of claims within the jurisdiction" distinct from the arbitration authorized CPLR Article 75, such as an arbitration program established under Part 28 of the Rules of the Chief Judge which provides for the disposition of a civil action for money by an arbitrator.

This measure, which would have no fiscal impact upon the State, would take effect on the thirtieth day after it shall have become a law.

2011 Legislative History: None. New proposal.