Rule 16.1 – Voluntary Arbitration

May 15, 2021 | Delaware, Family Law

Voluntary binding arbitration shall be available in all matters involving property division, spousal support, and alimony. There shall be established an Arbitration Committee of the Family Court (the Arbitration Committee). The Chief Judge of Family Court shall designate a Chairperson of the Arbitration Committee and as many members as the Chief Judge shall deem necessary. The Arbitration Committee shall be responsible for monitoring the effectiveness and operation of this Rule.

(a) Binding arbitration shall be available in all matters relating to property division, spousal support, alimony, and counsel fees, to the extent that such counsel fees may be recovered pursuant to statute or relevant case law, incident to proceeding brought under Chapter 15 of Title 13 of the Delaware Code. Arbitration shall not be available in Protection from Abuse, custody and/or visitation proceedings.

(b) Arbitration shall be initiated by the filing of a stipulation indicating election by the parties to proceed in binding arbitration which will be submitted to a Judge of the Family Court for entry as an Order of the Court. (See Form A). The filing of a stipulation stays all matters pending in the Family Court, except matters relating to Protection from Abuse Proceedings, disciplinary actions, enforcement of prior orders and matters related to custody and visitation. The parties may elect to pursue arbitration at any time prior to trial. The election to pursue binding arbitration constitutes a waiver of the right to trial on all matters subject to the arbitration stipulation.

(c)(1) Parties electing to arbitrate matters may select an arbitrator by mutual agreement at any time prior to the Court entering an Order designating an arbitrator.

(2) As to matters in which an arbitrator has not been selected, the Court shall maintain a list of attorneys (the Arbitrator List) who in the Chief Judge’s discretion have significant and current experience in domestic relations cases in the Family Court. The Chief Judge has sole discretion as to inclusion on the Arbitrator List. The Court shall, from time to time, review the Arbitrator List to confirm that those on the Arbitrator List continue to have experience in family law.

(d) Where the stipulation electing binding arbitration does not designate an individual to be arbitrator, the Court shall provide the parties with a list of three alternative arbitrators from the Arbitrator List. Each party may strike one. Any of the remaining alternative arbitrators may be selected by the Court to arbitrate the dispute. None of the arbitrators designated may be a partner or associate of any attorney in the case nor have any conflict of interest that would disqualify a judge under the Code of Judicial Conduct.

(1) The Court shall convey the list of three alternate arbitrators to the parties within ten days after the arbitration stipulation is filed, on a form provided. (See Form B.)

(2) Within ten days after the Court conveys the list of three alternative arbitrators to the parties, the Petitioner may strike one alternative arbitrator and the Respondent may strike one alternative arbitrator.

(3) On the 21st day after sending the list of alternative arbitrators, or as soon thereafter as possible, the Court will enter an order appointing the arbitrator from those individuals not struck by either party.

(4) Where the parties select an arbitrator by agreement, the parties shall submit to the Court a stipulation which shall include the signature of the arbitrator indicating consent to appointment. (See Form C). The Court will issue an order appointing the person as arbitrator.

(e) Unless the parties and arbitrator agree otherwise, the arbitrator appointed shall receive compensation for serving in the amount of $100.00 per hour, but not to exceed $1,000.00. The arbitration hearing shall not last longer than five hours without the consent of the arbitrator. The fee shall be allocated equally between the parties. Unless otherwise ordered by the Court, an advance deposit of $250.00 per party shall be paid into the Court within ten days of request for arbitration.

(f) The arbitration hearing shall be held within forty days of the arbitrator’s appointment, after consultation with the parties. The arbitrator may, in the arbitrator’s discretion, extend the time within which to begin the arbitration hearing by thirty (30) days by written order submitted to the Court. (See Form D.) Any extension beyond seventy (70) days from the arbitrator’s appointment must be by written stipulation of the parties submitted to the Court for approval or Order of the Court. Unless the date of the hearing is agreed upon by all parties, the arbitrator shall give at least ten days written notice of the hearing to the parties.

(g) An informal preliminary conference with the parties may be scheduled at the arbitrator’s discretion. The arbitrator may require a pre-trial filing similar to Rule 52(d) Proposed Findings of Fact and Conclusions of Law.

(h) The arbitration hearing may proceed in the absence of any party who fails to appear, after notice, but an award shall not be based solely upon the failure of a party to appear.

(i) The Rules of this Court shall apply to compel the attendance of witnesses and production of documents.

(j) Unless waived by the parties, testimony shall be under oath or affirmation, administered by the arbitrator.

(k) The Delaware Uniform Rules of Evidence shall be used as a guide to the admissibility of evidence, provided that evidence may be submitted and considered which possesses probative value commonly accepted by reasonably prudent persons in the conduct of their affairs. Copies or photographs of all exhibits, except exhibits intended solely for impeachment, must be delivered to the arbitrator and all parties at least ten days prior to the hearing. The arbitrator shall consider such exhibits without formal proof, unless the parties have been notified at least five days prior to the hearing that an adverse party intends to raise an issue concerning the authenticity of the exhibit. The arbitrator may refuse to receive into evidence any exhibit, a copy or photographs of which has not been delivered to an adverse party as provided herein. The arbitrator, in his or her discretion, may view or inspect exhibits or the locus involved in a case in the presence of the parties and/or their attorneys or outside the presence of the parties or their attorneys.

(l) A recording or transcript of the arbitration hearing may be made by a party at the party’s expense.

(m) The hearing may be adjourned for not more than ten days in the arbitrator’s discretion.

(n) After the conclusion of the hearing, the arbitrator shall issue and have hand delivered a written Arbitrator’s Order to the parties within ten (10) business days following the arbitration hearing and shall include necessary findings of facts and conclusions of law.

(o) Within five (5) business days following receipt of the Arbitrator’s Order or Supplemental Order, any party may File for reargument, clarification or request to expand the findings of fact. The other party may File a response within five (5) business days. The arbitrator shall issue and have hand delivered a Supplemental Order within five (5) days of receipt of the response. The arbitrator does not have discretion to alter the times in which the parties must act pursuant to this section. If no reargument, clarification or request to expand the findings of fact is taken, the Arbitrator’s Order and/or Supplemental Order becomes final on the sixth business day after the Order is delivered. “File” as used in this paragraph shall mean delivery by hand to the arbitrator and opposing counsel, or if unrepresented, the opposing party.

(p) The parties shall submit the Arbitrator’s Final Order to the Family Court as a Stipulation and Order of the parties. If a party refuses to submit the Arbitrator’s Order to the Family Court as a Stipulation and Order of the parties, the other party shall be entitled to specific enforcement of the Order and/or damages and such other relief as the Court may find appropriate in the circumstances.

(q) The Stipulation and Order shall include a statement of the arbitrator’s fee allocated equally between the parties. The statement shall be paid by the Court out of the funds deposited pursuant to paragraph (e). To the extent the arbitrator’s fee exceeds the amount deposited with the Court or the parties have agreed to compensate the arbitrator at rates in excess of those in paragraph (e) (hereinafter “Excess Fees”), the parties shall pay the arbitrator directly. To the extent necessary, the arbitrator may petition the Court to collect the Excess Fees. The Court shall include in any order enforcing the arbitrator’s fee agreement such additional relief as the Court deems appropriate including, but not limited to, fees and costs incurred by the arbitrator by enforcing the agreement.

(r) No party may collaterally attack the findings of fact or conclusions of law included in the Stipulation and Order in another proceeding, including an enforcement action pursuant to paragraph (p) above except as otherwise provided in these Rules of Civil Procedure.

Del. Fam. Ct. R. Civ. P. 16.1