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Arbitration is binding. An award may be enforced in court. Payment from the contractor, if awarded, is required within 30 days of the arbitrator's decision.
Under AAA rules, parties to AAA cases agree that the arbitration award can be entered as a judgment in any federal or state court with jurisdiction. This means that the court can enforce it like it was any other court judgment.
Arbitration claimants have access to the same collection tools as in a court judgment: if a respondent fails to pay an arbitration award, the claimant may take the award to court and have it converted to a judgment.
Recognition or confirmation of an award is usually sought by filing a petition. The party seeking recognition and enforcement or confirmation of an award must submit to the court a copy of the award and the parties' arbitration agreement.
On achieving the finality, and in the absence of any stay on execution granted by the court under Section 36(3) of the Arbitration Act, the award- holder knocks the doors of the appropriate executing court for executing the award as if it was a decree of the court.
Arbitration claimants have access to the same collection tools as in a court judgment: if a respondent fails to pay an arbitration award, the claimant may take the award to court and have it converted to a judgment.
The Repercussions To The Non-Paying Party This language allows a non-paying party to put on its defense in the arbitration regardless of whether it pays its share of the arbitration fees. On the other hand, a non-paying party may be subject to sanctions related to any affirmative claim it asserts in the arbitration.