Petition
(Compel or Stay Arbitration) (NY)

Summary

This Petition (Compel or Stay Arbitration) (NY) is a standard form that attorneys can use to commence a special proceeding in New York Supreme Court to compel or stay arbitration under Article 75 of New York's Civil Practice Law and Rules (C.P.L.R.). This template contains practical guidance, drafting notes, and alternate clauses. There are two procedural mechanisms a party may use to compel or stay arbitration: • Commence a special proceeding. Where there is no action pending between the parties relating to the issue to be arbitrated, the party seeking to compel or stay arbitration must initiate a special proceeding. See N.Y. C.P.L.R. § 7502(a). • File a motion. Where there is an action pending between the parties relating to the issue to be arbitrated, the party seeking to compel or stay arbitration may file a motion in that action. See N.Y. C.P.L.R. § 7503(a). To commence a special proceeding, you must file a petition in the proper court and county the arbitration agreement specifies. The petition is similar to and must comply with the requirements for a complaint. See N.Y. C.P.L.R. § 402. Typically, a party will seek to compel arbitration where an adverse party attempts to litigate a dispute that is the subject of a valid and binding arbitration agreement. Conversely, a party will seek to stay arbitration in response to receiving a demand to arbitrate or a notice of intention to arbitrate a claim that is not subject to arbitration. When faced with an application to compel or stay arbitration, the court will evaluate whether: • There is a valid agreement to arbitrate • The parties are in full compliance with that agreement –and– • The claim the petitioner seeks to arbitrate is timely See N.Y. C.P.L.R. §§ 7503(a), 7502(b). If the above criteria are met, the court will compel arbitration. See N.Y. C.P.L.R. § 7503(a). Conversely, the court will stay an arbitration in the absence of any of the requisite elements. See N.Y. C.P.L.R. § 7503(b). If the court issues an order compelling arbitration, that order shall operate as a stay of any pending or subsequent action as it relates to that issue. See N.Y. C.P.L.R. § 7503(a). The court will not consider whether the claim the petitioner seeks to arbitrate is tenable, nor will it otherwise evaluate the dispute's merits. See N.Y. C.P.L.R. § 7501. Rather, the court will determine only whether the parties have agreed to arbitrate the present dispute. See Nationwide Gen. Ins. Co. v. Invs. Ins. Co., 37 N.Y.2d 91 (1975). This template applies to consensual arbitrations pursuant to an arbitration agreement the parties entered voluntarily, governed by the C.P.L.R.'s Article 75. See, generally, N.Y. C.P.L.R. §§ 7501–7515. This template does not cover situations in which the legislature has imposed a requirement to arbitrate where the parties have not agreed to do so. See, e.g., N.Y. Ins. Law § 5105(b), N.Y. Lab. Law § 716(2), N.Y. Civ. Serv. Law § 209. For more information on compelling or staying arbitrations in New York, see Compelling and Staying Arbitration (NY). For a related checklist, see Compelling and Staying Arbitration Checklist (NY). For related templates, see Memorandum of Law (Motion to Compel or Stay Arbitration) (NY) and Notice of Petition (Compel or Stay Arbitration) (NY). For a detailed discussion of compelling or staying arbitrations, see Weinstein, Korn & Miller, New York Civil Practice: CPLR P 7503.00–7503.35. For information on commencing a civil action in New York Supreme Court, see Commencing a Lawsuit: Drafting the Summons and Complaint (NY) and Commencing a Lawsuit: Alternatives to Summons and Complaint (NY). For information on computing and extending time in New York Supreme Court, see Computing and Extending Time in Litigation (NY).