§ 1297.304.Status and Effect of Award On Agreed Terms

Title 9.3. Arbitration and Conciliation of International Commercial Disputes · Chapter 6. Making of Arbitral Award and Termination of Proceedings · Article 3. Settlement · Enacted 1988 · no amendments on record · Last verified July 29, 2026

In one sentenceSection 1297.304 gives an arbitral award on agreed terms the same status and effect as any other arbitral award decided on the substance of the dispute.

Full Text of § 1297.304

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An arbitral award on agreed terms has the same status and effect as any other arbitral award on the substance of the dispute.

Plain-English Summary

Once a settlement has been recorded as an award under the two preceding sections, this section removes any lingering doubt about what that award is worth. An arbitral award on agreed terms has the same status and effect as any other arbitral award on the substance of the dispute.

That equivalence carries real weight. It means the parties don't get a lesser or more fragile form of award just because it grew out of a settlement rather than a fully litigated decision on the merits. For purposes of recognition, enforcement, and finality, an agreed-terms award stands on the same footing as an award the tribunal reaches after a contested hearing.

Frequently Asked Questions

Is a settlement recorded as an arbitral award weaker than an award decided on the merits?

No. Section 1297.304 gives it the same status and effect as any other arbitral award on the substance of the dispute.

Does this affect how the award can be enforced?

Yes, in the sense that it can be enforced on the same footing as any other arbitral award, rather than being treated as a mere private settlement contract.

What two prior sections lead up to this equivalence?

Section 1297.302, which lets the tribunal record a settlement as an award, and Section 1297.303, which requires that award to meet the same form requirements and state that it is an award.

Amendment History

Added by Stats. 1988, Ch. 23, Sec. 1. Effective March 7, 1988.

Source & verification. Section text is reproduced verbatim from the Deering's California Codes Annotated / vLex. Enacted by the California Legislature. Last verified July 29, 2026. · Official source

Also known as: settlement award same effect as arbitral awardenforceability award on agreed terms