Supreme Court of New Jersey
In the Matter of Arbitration Between Wilmer Grover, Jr., and Universal Underwriters Insurance Company
May 15, 197980 N.J. 221
Summary
The Supreme Court of New Jersey reversed the Appellate Division, holding that the arbitrator exceeded his authority by deciding the policy coverage issue without the required competent corroborative evidence, and therefore vacated the $15,000 award. The Court found that the arbitrator lacked jurisdiction to determine coverage because the policy demanded evidence beyond the plaintiff's testimony, and that the court may set aside an award when the arbitrator acts beyond the contractual grant of power. Justice Pashman dissented, arguing that the majority improperly substitutes its judgment for the arbitrator's and unduly narrows coverage under the uninsured motorist provision.