| 2. Because Section 21 is a waivable provision under Section |
| 4(a), the parties can agree to limit or eliminate certain |
| remedies "to the extent permitted by law." It should be noted |
| that in arbitration cases where, if the matter had been in |
| litigation, a person would have been entitled to an award of |
| attorneys fees or punitive damages or other exemplary relief, |
| there is doubt whether one of the parties by contract can |
| eliminate the right to attorney's fees or punitive damages or |
| other exemplary relief. Some courts have held that they will |
| defer to an arbitration award involving statutory rights only |
| if a party has the right to obtain the same relief in |
| arbitration as is available in a court. See, e.g., Cole v. |
| Burns Int'l Sec. Serv., 105 F.3d 1465 (D.C. Cir. 1997) |
| (finding that employee with race discrimination claim under |
| Title VII is bound by predispute arbitration agreement under |
| FAA if the employee has the right to the same relief as if he |
| had proceeded in court); Graham Oil Co. v. ARCO Prods. Co., 43 |
| F.3d 1244 (9th Cir.), cert. denied, 516 U.S. 907 (1995) |
| (stating that arbitration clause compelling franchisee to |
| surrender important rights, including right of attorney fees, |
| guaranteed by the Petroleum Marketing Practices Act, |
| contravenes this statute); DeGaetano v. Smith Barney, Inc., 75 |
| FEP Cases 579 (S.D.N.Y. 1997) (concluding that award under |
| arbitration clause requiring each side to pay own attorney's |
| fees in Title VII claim on which plaintiff prevailed but where |
| arbitrators refused to award attorney's fees set aside as a |
| manifest disregard of the law; the arbitration of statutory |
| claims as a condition of employment are enforceable only to |
| the extent that the arbitration preserves protections and |
| remedies afforded by the statute); Armendariz v. |
| Foundation Health Psychcare Services, Inc., 24 Cal. 4th 83, 6 |
| P.3d 669, 99 Cal. Rptr. 2d 745 (2000) (holding that limitation |
| in arbitration |