Arbitration, Limited Appeal Rights, SEC Role

The SEC cannot overturn or change an arbitrator's decision. Because an arbitration award is final and binding, the Federal Arbitration Act allows only the courts to review an arbitrator's award in extremely limited circumstances.

The Act requires you to act quickly: you must appeal an arbitration decision within three months of the date the decision was filed or delivered.

Although the SEC cannot change an arbitration decision, we appreciate hearing your concerns about the fairness and efficiency of the arbitration process. We oversee the arbitration programs conducted by self-regulatory organizations like the National Association of Securities Dealers, Inc., and your views can help us make sure that the process runs smoothly and fairly.