The DRAA permits the parties to an arbitration agreement to customize much of how the arbitration will be conducted and by whom. Absent such customization, the DRAA supplies the default rules. Here are the main issues to consider in drafting a DRAA agreement:
- Selection of Arbitrator(s)
(a) Name one or more arbitrators*, or
(b) State method to select arbitrator, or
(c) Employ court-appointed default procedure.
2. Method of Conducting Arbitration
(a) Use of proposed "model rules," or
(b) Alternative method of conducting arbitration.
3. Method of Paying for Arbitration
(a) Up to arbitrator to decide, or
(b) Split fees.
4. Place of Arbitration
(a) Specify place, or
(b) Leave to arbitrator.
5. Limits on Pre-Hearing Discovery
(a) Specify if third-party discovery is permitted,
(b) Define scope of discovery, or
(c) Leave scope of discovery to arbitrator.
6. Time Limit to Issue Award
(a) Expand time limit to issue award up to 180 days, or
(b) Limit time to issue award to less than 120 days.
7. Method to Review Arbitration Award
(a) Waive right to appeal, or
(b) Provide all appeals to private appellate arbitrators, or
(c) Leave appeal only to Delaware Supreme Court.
*If more than one arbitrator is to act, determine if award must be by majority or all arbitrators.