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Landers v. Mayhew
Citations: 666 A.2d 1161; 1995 R.I. LEXIS 232; 1995 WL 660983Docket: No. 94-611-A
Court: Supreme Court of Rhode Island; October 26, 1995; Rhode Island; State Supreme Court
A hearing panel of the Supreme Court convened on October 17, 1995, to address an appeal by Peter Mayhew against a Superior Court judgment that confirmed an arbitration award in favor of Jane Landers. The arbitration arose from a contract for constructing a home for a price of $197,400, which was terminated by the plaintiff due to disputes. The arbitrator awarded $208,850, which included $81,360 for contract completion and $100,000 for 26 significant construction defects. The defendant argued that the award was irrational for exceeding the contract price, given the home's near completion, and for including $27,500 for "loss of rents, legal and architectural fees," which he claimed exceeded the arbitrator's powers. The absence of a stenographic record from the arbitration hearings limited the court's ability to review the award. According to established law, the court's review of arbitration awards is narrow, and unless an award is completely irrational, it will not be overturned. The trial justice noted that the contract allowed the arbitrator to allocate costs, and the plaintiff presented evidence of major defects in the construction. The court concluded that the arbitrator's decision did not yield an irrational result. Consequently, the appeal was denied and dismissed, affirming the arbitration award and returning the case papers to the Superior Court. Justices Murray and Shea did not participate in the decision.