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damages. For example, although parties might limit remedies, | | such as recovery of attorney's fees or punitive damages in | | Section 21, a court might deem such a limitation inapplicable | | where an arbitration involves statutory rights that would | | require these remedies. See Comment 2 to Section 21. |
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| | | 4. Section 4(b) is a listing of those provisions that cannot | | be waived in a predispute context. After a dispute subject to | | arbitration arises, the parties should have more autonomy to | | agree to provisions different from those required under the | | RUAA; in that circumstance the sections noted in 4(b) are | | waivable. |
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| | | Special mention should be made of the following sections: |
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| | | a. Section 9 allows the parties to shape what goes into a | | notice to initiate an arbitration proceeding as well as the | | means of giving the notice but Section 4(b)(2) insures that | | reasonable notice must be given. |
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| | | b. Section 4(b)(3) recognizes that many parties are governed | | by disclosure requirements through an arbitration organization | | or a professional association. Such requirements would be | | controlling instead of those in Section 12 so long as they are | | reasonable in what they require a neutral arbitrator to | | disclose. Also, parties can waive the requirement that non- | | neutral arbitrators appointed by the parties make any | | disclosures under Section 12. See, e.g., AAA, Commercial Disp. | | Resolution Pro. R-12(b), 19 (disclosure requirements do not | | apply to party-appointed arbitrator, unless parties agree to | | the contrary). |
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| | | c. Section 16, which provides that a party can be represented | | by an attorney and which cannot be waived prior to the | | initiation of an arbitration proceeding under Section 9, is an | | important right, especially in the context of an arbitration | | agreement between parties of unequal bargaining power. | | However, in labor-management arbitration many parties agree to | | expedited provisions where, prior to any hearing on a | | particular matter, they knowingly waive the right to have | | attorneys present their cases (and also prohibit transcripts | | and briefs) in order to have a quick, informal, and | | inexpensive arbitration mechanism. Because of this | | longstanding practice and because the parties are of | | relatively equal bargaining power, Section 4(b)(4) makes an | | exception for labor-management arbitration. |
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| | | d. Although prior to an arbitration dispute, parties should | | not be able to waive Section 26 concerning jurisdiction and | | Section 28 regarding appeals because these provisions deal | | with | | courts' authority to hear cases, after the dispute arises if | | parties wish to limit the jurisdictional provisions of Section | | 26 or the provisions regarding appeals in Section 28 to decide | | that there |
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