48 A.D.2d 733 | N.Y. App. Div. | 1975
Appeal from an order of the Supreme Court at Special Term, entered May 7, 1974 in Rensselaer County, which denied appellant’s motion to modify an arbitration award and granted respondent’s cross motion to confirm the award. The contract whereby the respondent purchases its water from the appellant provides that, at the expiration of every 15 years, the parties could renegotiate the price for future consumption based upon the increased "cost of producing and distributing water” and, further, that "In the event the parties are not able to agree, the question of fair basis shall be determined by arbitration”. In 1971 the parties could not agree, arbitration was held, and in 1973 the arbitrators set the rate at $.37 per thousand gallons, effective until June 3, 1985. It is clear that an arbitrator’s award cannot be set aside or modified due to an error of fact or law unless the correction comes within the
