Fourth Circuit Makes Clear That Parties Can Waive Appellate Review of an Arbitrator's Decision

In a matter of first impression in the Fourth Circuit (which includes Maryland), the Court made clear that parties may waive in their arbitration agreement appellate review of an arbitrator's decision. While initial review of the decision in order to confirm or vacate the award may be made by a District Court (remember, arbitration awards are not self-enforcing), the parties may agree to foreclose further appellate review. If so, that choice will be honored.

In its opinion, the Court noted increasing litigation and appeals over arbitration awards, which defeats one of the primary purposes of arbitration in the first place - parties often choose to arbitrate because it is viewed as a quicker and more efficient means to adjudicate their disputes.

The case is Beckley Oncology Assocs., Inc. v. Abumasmah, No. 19-1751 (4th Cir. Apr. 8, 2021).