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Under Louisiana law, trial courts do not have discretion to deny confirmation of an arbitration award unless the aggrieved party has challenged the award within the auspices of the arbitration statute. Accordingly, the trial court in this case lacked discretion to deny a credit card issuer's motion to confirm an arbitration award.
In Capital One Bank v. White, No. 2007 CW 2174, 2008 WL 2332277 (La. Ct. App. June 6, 2008), Capital One filed a motion to confirm an arbitration award for the unpaid balance on White's credit card. At the hearing, White claimed that she never agreed to arbitrate. The trial court denied the motion to confirm but did not vacate the award.
On appeal, Capital One argued that the trial court erred in refusing to confirm the award, because White failed to seek vacatur, modification, or correction of the arbitration award as authorized by law. The Court agreed with this argument, noting that Louisiana law requires confirmation unless the award is vacated, modified, or corrected pursuant to statute.
Accordingly, the Court held that since White did not file a motion to vacate or modify the award, the trial court lacked discretion to deny confirmation. The Court thus rendered judgment on the award.
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