ARBITRATION amp; MEDIATION IN US amp; TURKEY.ppt

ARBITRATION MEDIATION IN US TURKEY Tuncay YILDIRAN Supervisor Pf.William C.TYSON Alternative Dispute Resolution arbitration mediation early neutral evaluation conciliation mini-trial Arbitration dispute resolution knowledgeable neutrals binding waiver of the appeal to court Historical Background Dated back to 1872 Shearson vs. MacMahon 1987 Regulatory Structure Federal Arbitration Act (Title 9 US Code) Section 6 (1934 Act) Section 15A (1934 Act) Section 19 (1934 Act) Contractual Basis of ADR compulsory submission written agreement pre-dispute agreements Eligible Disputes Any disputes arising from or in connection with the bussines of any member, or arising out of the employment or termination of employment; between or among members; between or among members and associated persons; between or among members or associated persons and public customers or others between the customer and nonmember firms if the parties agreed to arbitrate (NASD) Types of Claims Customer – Member, Associated Person breach of fiduciary duty, fraud, churning Member – Member raiding, breach of contract Associated Person – Member discrimination, compensation, unlawful termination of contract The Arbitrators knowledgeable in securities markets impartial non employee of sponsoring organizations Classification of Arbitrators(Non-public arbitrators) is or within 3 years (5 years in NYSE) was associated with any securities professional retired from the securities business attorneys, accountants or other professional who devoted 20 % of his profession to the securities professionals employees of bank or other financial institutions (NASD) Classification of Arbitrators(Public Arbitrators) himself the spouse or immediate family member (household in NYSE) not engaged in securities activities Number of the Arbitrators disputes arising out the employment relation employment termination of employment or employment contracts employment discrimination, sexual harassment disputes between assoc