How Do I Set Up an Arbitration Hearing in New Jersey?

Full Question:

How do I set up an arbitration hearing in New Jersey? (extended car warranty issue)
08/28/2010   |   Category: Arbitration and Me...   |   State: South Carolina   |   #23039

Answer:

A petition is filed in court to compel arbitration, showing an agreement to arbitrate and alleging another person's refusal to arbitrate pursuant to the agreement. A person initiates an arbitration proceeding by giving notice in a record to the other parties to the agreement to arbitrate in the manner agreed between the parties or, in the absence of agreement, by certified
or registered mail, return receipt requested and obtained, or by service mas authorized for the commencement of a civil action. The notice must describe the nature of the controversy and the remedy sought.


Please see the following NJ statutes:

2A:23B-5. Application for judicial relief

a. Except as otherwise provided in section 28 of this act, an
application for judicial relief pursuant to this act shall be made upon
commencement of a summary action with the court and heard in the manner
provided for in such matters by the applicable court rules.

b. Unless a civil action involving the agreement to arbitrate is
pending, notice of commencement of a summary action pursuant to this act
shall be served in the manner provided by the court rules for serving
process in summary actions.

2A:23B-6. Agreement to arbitrate; validity

a. An agreement contained in a record to submit to arbitration any
existing or subsequent controversy arising between the parties to the
agreement is valid, enforceable, and irrevocable except upon a ground
that exists at law or in equity for the revocation of a contract.

b. The court shall decide whether an agreement to arbitrate exists or a
controversy is subject to an agreement to arbitrate.

c. An arbitrator shall decide whether a condition precedent to
arbitrability has been fulfilled and whether a contract containing
a valid agreement to arbitrate is enforceable.

d. If a party to a judicial proceeding challenges the existence of, or
claims that a controversy is not subject to, an agreement to arbitrate,
the arbitration proceeding may continue pending final resolution of the
issue by the court, unless the court otherwise orders.

2A:23B-7. Application to compel or stay arbitration

a. On filing a summary action with the court by a person showing
an agreement to arbitrate and alleging another person's refusal to
arbitrate pursuant to the agreement:

(1) if the refusing party does not appear or does not oppose the
summary action, the court shall order the parties to arbitrate; and

(2) if the refusing party opposes the summary action, the court shall
proceed summarily to decide the issue and order the parties to arbitrate
unless it finds that there is no enforceable agreement to arbitrate.

b. On filing a summary action with the court by a person alleging that
an arbitration proceeding has been initiated or threatened but that there
is no agreement to arbitrate, the court shall proceed summarily to decide
the issue. If the court finds that there is an enforceable agreement to
arbitrate, it shall order the parties to arbitrate.

c. If the court finds that there is no enforceable agreement, it may
not, pursuant to subsection a. or b. of this section, order the parties
to arbitrate.

d. The court may not refuse to order arbitration because the claim
subject to arbitration lacks merit or grounds for the claim have not been
established.

e. If a proceeding involving a claim referable to arbitration pursuant
to an alleged agreement to arbitrate is pending in court, an application
pursuant to this section shall be made in that court. Otherwise, an
application pursuant to this section may be made in any court as provided
in section 27 of this act.

f. If a party commences a summary action to order arbitration, the
court on just terms shall stay any judicial proceeding that involves a
claim alleged to be subject to the arbitration until the court renders a
final decision pursuant to this section.

g. If the court orders arbitration, the court on just terms shall
stay any judicial proceeding that involves a claim subject to the
arbitration. If a claim subject to the arbitration is severable,
the court may limit the stay to that claim.

2A:23B-9. Initiation of proceedings; notice

a. A person initiates an arbitration proceeding by giving notice in a
record to the other parties to the agreement to arbitrate in the manner
agreed between the parties or, in the absence of agreement, by certified
or registered mail, return receipt requested and obtained, or by service
as authorized for the commencement of a civil action. The notice shall
describe the nature of the controversy and the remedy sought.

b. Unless a person objects for lack or insufficiency of notice
pursuant to subsection c. of section 15 of this act not later than
the beginning of the arbitration hearing, the person, by appearing
at the hearing, waives any objection to the lack or insufficiency
of notice.