78B-11-113 - Disclosure by arbitrator. - Utah Statutes

78B-11-113. Disclosure by arbitrator.
(1) Before accepting appointment, an individual who is requested to serve as anarbitrator, after making a reasonable inquiry, shall disclose to all parties to the agreement toarbitrate and arbitration proceeding and to any other arbitrators any known facts that a reasonableperson would consider likely to affect the impartiality of the arbitrator in the arbitrationproceeding, including:
(a) a financial or personal interest in the outcome of the arbitration proceeding; and
(b) an existing or past relationship with any of the parties to the agreement to arbitrate orthe arbitration proceeding, their counsel or representatives, a witness, or another arbitrator.
(2) An arbitrator has a continuing obligation to disclose to all parties to the agreement toarbitrate and arbitration proceeding and to any other arbitrators any facts that the arbitrator learnsafter accepting appointment which a reasonable person would consider likely to affect theimpartiality of the arbitrator.
(3) If an arbitrator discloses a fact required by Subsection (1) or (2) to be disclosed and aparty timely objects to the appointment or continued service of the arbitrator based upon the factdisclosed, the objection may be a ground under Subsection 78B-11-124(1)(b) for vacating anaward made by the arbitrator.
(4) If the arbitrator did not disclose a fact as required by Subsection (1) or (2), upontimely objection by a party, the court under Subsection 78B-11-124(1)(b) may vacate an award.
(5) An arbitrator appointed as a neutral arbitrator who does not disclose a known, direct,and material interest in the outcome of the arbitration proceeding or a known, existing, andsubstantial relationship with a party is presumed to act with evident partiality under Subsection78B-11-124(1)(b).
(6) If the parties to an arbitration proceeding agree to the procedures of an arbitrationorganization or any other procedures for challenges to arbitrators before an award is made,substantial compliance with those procedures is a condition precedent to a motion to vacate anaward on that ground under Subsection 78B-11-124(1)(b).

Renumbered and Amended by Chapter 3, 2008 General Session