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What are the Dangers of Breaching Confidentiality?

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What are the Dangers of Breaching Confidentiality?

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The arbitrator’s immunity from post-award questioning can be waived when an arbitrator has voluntarily discussed the case and disclosed his or her reasoning, or disclosed communications with other panel members, to someone outside of the panel. Breaching confidentiality not only waives the protection for that arbitrator, but it may also waive protection for the other panel members, even if they did not breach confidentiality. Breaching confidentiality also undermines the validity of the arbitration award by giving a dissatisfied party a possible basis to seek judicial review of the award. The law allows for vacatur of awards for arbitrator bias, evident partiality or other misconduct. A court could deem an arbitrator’s breach of confidentiality to provide evidence of such bias, evident partiality or misconduct. How Can You Protect Yourself and Your Co-Panelists? • Do not discuss a case with anyone except your co-panelists, or NASD Dispute Resolution (NASD) staff where appropriate. Do n

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