Feichtinger sued Conant in superior court, alleging that Conant deprived him of his due process rights during the arbitration proceeding in violation of the underlying labor contract.1 The superior court granted Conant summary judgment on the grounds of arbitral immunity. Arbitral immunity gives arbitrators absolute immunity from liability for damages arising out of quasi-judicial actions taken by them. See, e.g., International Union, United Auto., Aerospace, and Agr. Arbitral immunity is the rule in virtually all jurisdictions,2 and we now adopt it. We decline to adopt any of Feichtinger's proposed limits on arbitral immunity, as doing so would undermine the policies served by arbitral immunity.
Arbitral immunity encourages the settlement of disputes by arbitrators.
It protects the integrity of the arbitration process from reprisals by dissatisfied parties. It enhances the impartiality and independence of arbitrators. It lends finality to decisions of arbitrators. And it makes it easier to recruit arbitrators. Exposing arbitrators to personal liability would weaken the effectiveness and attractiveness of arbitration as an alternative to litigation.