How does a respondent request expungement if the parties settle the arbitration?
In the event of settlement, the parties could jointly request a stipulated award from an arbitration panel that would include a request that the panel make affirmative findings and order expungement based on one or more of the standards in Rule 2080. The arbitrators would be required to follow the procedures set forth in Arbitration Code Rule 12805 or 13805 in considering any such request for expungement. The arbitrators would then determine whether expungement should be granted based on one or more of the three standards set forth in Rule 2080. Note: Parties who plan to seek expungement relief notwithstanding a settlement should immediately advise the FINRA arbitration staff member assigned to the case that they plan to do so, so that the case is not closed before the expungement request is considered. As discussed in response to Question No. 17, the Arbitration Code contains strict time deadlines and other conditions for reopening closed cases. See Arbitration Code Rules 12905 and 13
