Legal Question in Business Law in North Carolina

What happens if you have an arbitration decision that is rendered from a BBB dispute and you are still in disagreement with the settlement and you don't pay the amount given to the business in the dispute, what can they do.


Asked on 8/29/10, 7:18 pm

2 Answers from Attorneys

John Kirby Law Offices of John M. Kirby

There is "binding" and "non-binding" arbitration. You will have to review anything you signed with the BBB to see if the arbitration decision is binding. Based on a little research, it appears that the business is always bound to the decision, but whether the customer is bound depends on whether he or she so agreed that it would be binding. (But again -- you would need to check the actual documents you signed and which were provided to you to determine if it is binding on you.) If the decision is binding on you, then the other side can file the arbitration award with the court and get a "judgment" against you, which they can then try to collect the judgment, through normal collection procedures (as if they tried the case against you in court and prevailed). If the arbitration decision is binding, then you do not get to re-litigate the underlying dispute; i.e., you are bound by the finding that you are obligated to pay. You might want to consult with a lawyer and provide him or her with more information to obtain better information about this issue.

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Answered on 9/03/10, 9:00 pm
Kevin B. Murphy Franchise Foundations, APC

The other attorney is right on point. The key is whether you agreed to be bound by the BBB dispute process. Next, assuming you did, did you agree to binding arbitration (where you can't dispute or appeal) or non-binding arbitration (which means very little in reality). Get all relevant BBB documents you signed and consult with an attorney in your area for specifics.

Kevin B. Murphy, B.S., M.B.A., J.D. - Mr. Franchise

Franchise Attorney

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Answered on 9/04/10, 8:15 am


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