Va. Supreme Court Sets Vacatur Standard for Arbitration Awards

Ruling requires objective proof of obvious bias by arbitrator to justify overturning award

Mar. 25, 2026 at 1:00pm

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The Virginia Supreme Court has established an objective standard for vacating arbitration awards due to evident partiality. The court ruled that a party seeking to vacate an award must show that a reasonable person, knowing all the relevant facts, would conclude the arbitrator's conduct signifies obvious bias against that party.

Why it matters

This ruling provides clarity on the high bar required to overturn an arbitration award in Virginia, reinforcing the state's policy of favoring the validity of arbitration agreements. The decision aims to prevent parties from routinely challenging awards based on minor or attenuated past relationships between arbitrators and parties.

The details

In the case of Garofalo v. Di Vincenzo, the court affirmed that prior remote and tangential business relationships between an arbitrator and a party do not constitute evident partiality warranting vacatur under the Virginia Uniform Arbitration Act. The court emphasized that the inquiry is whether the circumstances would lead a reasonable person to conclude the arbitrator was obviously biased, not merely whether there was an appearance of bias.

  • The Virginia Supreme Court issued its ruling on March 25, 2026.

The players

Garofalo v. Di Vincenzo

A case in which the Virginia Supreme Court established the standard for vacating arbitration awards due to evident partiality.

Virginia Uniform Arbitration Act (VUAA)

The state law that governs the vacatur of arbitration awards, which the court interpreted in this ruling.

Michael Glasser

The arbitrator whose past relationships with one of the parties were at issue in the case.

Jayne Di Vicenzo

The party who prevailed in the arbitration and opposed vacatur of the award.

Devin Garofalo

The party who sought to vacate the arbitration award, arguing evident partiality by the arbitrator.

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What they’re saying

“We hold that a party seeking vacatur for evident partiality under Code § 8.01-581.010(2) must show that a reasonable person, knowing all the relevant facts, would conclude that the arbitrator's conduct signifies obvious bias against that party.”

— Justice Thomas P. Mann, Writing for the unanimous Virginia Supreme Court

What’s next

The ruling provides clear guidance to parties seeking to overturn arbitration awards in Virginia, setting a high bar for proving evident partiality by arbitrators. Going forward, courts will apply this objective standard when evaluating such challenges.

The takeaway

This decision reinforces Virginia's strong policy favoring the validity of arbitration agreements and awards, allowing them to be overturned only in rare circumstances where there is clear and obvious evidence of an arbitrator's bias. It aims to prevent routine challenges based on minor or tangential past relationships between arbitrators and parties.