Rule 1306.1 - Sanctions for Failure to Pay an Award from an Arbitration or Dispute Resolution from Which No Appeal Has Been Taken(a) As used in this rule, the following words shall have the following meaning: ''Award.'' The finding of a Board of Arbitration, an arbitrator(s), or a dispute resolution proceeding which compels payment, in any form of monetary exchange, to a prevailing party from a non-prevailing party.
(b) The provisions of this rule shall not apply to the annuity or future installment portion of a structured settlement award.(c) The Prevailing Party and Non-prevailing Party may agree in writing to modify or waive any of the provisions of this rule.(d) A Non-prevailing Party shall have thirty-five (35) calendar days from receipt of an award within which to deliver the award to the prevailing Party or its counsel.(e) If awarded funds are not delivered to the Prevailing Party or its counsel within aforesaid thirty-five day period, the Prevailing Party may present to the Court a Petition for Sanctions which shall include:1. an affidavit attesting to nonpayment;2. a copy of any document evidencing the procedural history of the matter;4. a copy of a receipt reflecting delivery of the award more than thirty-five (35) days prior to the date of filing of the Petition; and5. the form of Order specified in paragraph (G) below. The attorney shall certify to the Court the applicable interest rate specified in paragraph F below and shall certify that the Petition and its accompanying documents have been served on all interested counsel.(f) Upon receipt of the Rule to Show Cause, the Petition and its supporting documentation required by paragraph (E) above, the Non-prevailing Party shall have twenty (20) days to file an Answer to the Rule and thereafter shall conduct discovery and appear for a hearing, if the Court deems necessary. If the Court finds that the Non-prevailing Party has violated this local rule and that there is no material dispute as to the terms of the award, the Court shall impose sanctions in the form of simple interest calculated at the rate equal to the prime rate as listed in the first edition of the Wall Street Journal published for the calendar year last preceding the date on which the Petition was filed, running from the thirty-fifth day to the date of delivery of the award; reasonable attorneys' fees incurred in the preparation and presentation of the Petition and any subsequent action related thereto; and such other sanction as the Court deems necessary, including liquidated damages not in excess of 10% of the award.(g) The Petition shall be accompanied by two Orders in substantially the following form: ORDER
AND NOW, this ____ day of ______, 20 ____, a Rule is issued upon ______ to show cause why sanctions should not be imposed for failure to deliver awarded funds to ______ or ______ within thirty-five (35) days after receipt of an award. Rule returnable twenty (20) days hereafter, or ______, 20 ____, by which time an Answer shall be filed. If necessary, a hearing or discovery on this matter will be held following the return of the Rule at a time or in a manner to be designated by the Court. Thereafter, an appropriate Order shall be entered.
BY THE COURT:
______, J.
ORDER
AND NOW, this ______day of ______, 20 ______, upon consideration of the Petition for Sanctions and its attachments, the Answer thereto, and upon a finding that payment was not made to ______or ______ within thirty-five days of receipt of the award in the above captioned action, and ______ conduct in failing to deliver the awarded funds is dilatory, obdurate and vexatious, it is hereby ORDERED and DECREED that in addition to the award of $( ____ ), ______ is ordered to pay forthwith simple interest thereon at the rate of _____ on $( ____ ) from ______ to the date of delivery of the awarded funds, together with $( ____ ) in attorneys' fees, and $ _____ in liquidated damages, pursuant to Beaver County Local 229.1.
BY THE COURT:
______, J.
Adopted effective 3/1/2024