Middle District of Georgia


IN BRIEF

Process summary

Arbitration. The Middle District of Georgia is one of ten courts authorized by 28 U.S.C. §§ 651-658 to provide voluntary, nonbinding court-annexed arbitration. See below.

Mediation. One district judge frequently asks parties in complicated civil cases to consider private mediation and provides them with information on private mediation firms that handle referrals from the court. If the parties agree to mediate, they make all arrangements and pay all fees. A referral to private mediation may be made at any time in the case.

Of note

Information from court. All counsel in cases referred to arbitration are mailed a copy of the Arbitration Handout.

Plans. The court is considering an amendment to the local rules proposed by the court's Rules Committee to expand arbitration to all civil cases.

Evaluation. A Federal Judicial Center study of the first year of the court's voluntary arbitration program is reported in David Rauma & Carol Krafka, Voluntary Arbitration in Eight Federal District Courts: An Evaluation (Federal Judicial Center 1994).

For more information

Gregory J. Leonard, Clerk of Court, 912-752-3497; Mary Rowe, Arbitration Clerk, 912-752-3497


IN DEPTH

Arbitration in Georgia Middle

Overview

Description and authorization. The Middle District of Georgia is one of ten courts authorized by 28 U.S.C. §§ 651-658 to establish a voluntary, nonbinding court-annexed arbitration program. The program, which was implemented in 1991 under Local Rule 11 and is experimental, applies to contract, tort, and other specified civil cases seeking damages of $150,000 or less. This court is one of four districts (see also D. Ariz., W.D. Pa., and N.D. Ohio) in which all eligible cases are automatically referred to arbitration, but any party is permitted to opt out of the referral for any reason within a designated time period. If the parties agree to arbitrate, an attorney-arbitrator from the court's roster presides over a three-to-four-hour hearing held in a courtroom and renders a decision on the merits of the case. Judgment is entered on the arbitrator's award if a demand for trial de novo is not filed within thirty days. The arbitrator is paid by the court.

Number of cases. Between January and September 1994, 132 cases were referred to arbitration.

Case selection

Eligibility of cases. Local Rule 11.3 enumerates categories of eligible cases, generally including contract and tort cases seeking money damages of $150,000 or less, exclusive of punitive damages, interest, costs, and attorney's fees. If the United States is a party, claims within the monetary limit and brought under the Miller Act or the Federal Tort Claims Act are eligible for referral. Other kinds of cases involving the United States may also be referred to arbitration if permitted by regulation. Other civil cases within the monetary limit are eligible for referral to arbitration if brought pursuant to (1) 28 U.S.C. § 1331 and the Jones Act, 46 U.S.C. § 688 or the FELA Act, or 45 U.S.C. § 51; (2) 28 U.S.C. §§ 1332 or 1333 arising out of a negotiable instrument or contract; or (3) 28 U.S.C. §§ 1332 or 1333 and Rule 9(h) of the Federal Rules of Civil Procedure to recover for personal injuries or property damage. Additionally, parties may consent to arbitration in any other kind of matter. Excluded from the arbitration program are claims of constitutional violations or claims where jurisdiction is based on 28 U.S.C. § 1343.

Referral method. All eligible cases are automatically referred to arbitration within twenty days of being notified of the answer by the clerk of court. If a motion to dismiss is filed in lieu of an answer, the arbitration referral is deferred pending decision of the motion.

Opt-out or removal. Within twenty days of receiving the referral notice, either party may opt out of the arbitration program for any reason by filing a written notice with the clerk of court.

Scheduling

Referral. Within twenty days of the filing of the answer, the clerk of court notifies parties in eligible cases that their case has been referred to arbitration. If a motion to dismiss has been filed in lieu of an answer, the case is referred to arbitration after the motion to dismiss has been decided.

Discovery and motions. An arbitration referral does not interfere with the normal progression of discovery or other case management events.

Written submissions. At least ten days before the arbitration hearing, parties exchange lists of witnesses, along with copies or photographs of all exhibits to be offered at the hearing. The arbitrator may refuse to consider witnesses and exhibits not so disclosed.

Arbitration hearing. The parties and the arbitrator determine a mutually convenient date for the arbitration hearing, which must be completed within ninety days of selecting the arbitrator (which is usually within forty days of filing the answer). The arbitration hearing is held at the courthouse.

Length of hearing. The hearing usually lasts three to four hours.

Program features

Party roles and sanctions. In addition to counsel, individual parties or authorized representatives of corporate parties must attend the arbitration hearing. Local Rule 11 does not specify whether or what type of sanctions might be imposed for failure to comply with the attendance and other requirements.

Filing of award. Within ten days of the arbitration hearing, the arbitrator files the award with the clerk, who then mails the decision to all the parties. The award remains sealed until the period for requesting a trial de novo expires. The award becomes the final judgment if such a request is not made.

De novo request. A request for trial de novo must be made within thirty days of the arbitrator's decision. No bond is required and no fees or sanctions are incurred if the requesting party does not improve on the arbitration award at trial.

Confidentiality. The contents of the arbitration award are shielded from the assigned judge (1) except as necessary for the court to determine whether to assess costs or attorneys' fees under 28 U.S.C. § 655; (2) until the district court has entered a final judgment in the action or the action is otherwise terminated; and (3) except for purposes of preparing the report required by section 903(b) of the Judicial Improvements and Access to Justice Act. At trial de novo, the court will not admit any evidence about the arbitration process or award.

Neutrals

Qualifications and training. An attorney appointed to the court's roster must be a member of the state bar for at least ten years; admitted to practice in this court or any other U.S. district court; and determined by the chief judge to be competent to perform the duties of an arbitrator. No training in arbitration is required by the court.

Selection for case. The court selects three potential arbitrators from its roster of approved attorney-arbitrators and mails the names to the parties. Each party may strike one name, and the remaining name becomes the arbitrator in the case.

Disqualification. Any person selected as an arbitrator may be disqualified for bias or prejudice as provided by 28 U.S.C. § 144 and must disqualify himself or herself in any action in which he or she would do so if serving as a justice, judge, or magistrate judge governed by 28 U.S.C. § 455.

Immunity. This issue is not addressed in the local rule.

Fees. Depending on availability of funds, arbitrators are compensated by the court at a rate set by the chief judge by standing order. The current rate is $250 per day. If parties agree to arbitrate cases outside the program's eligibility guidelines, the parties pay the costs of the arbitrators themselves.

Program administration

The arbitration program is administered by the clerk's office. Problems that cannot be resolved by the clerk are referred to the chief judge.


Excerpted from ADR and Settlement in the Federal District Courts: A Sourcebook for Judges & Lawyers, 1996, a publication of the Federal Judicial Center and CPR Institute for Dispute Resolution