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Iowa Company Claims Arbitrator Couldn't Hear, Dozed Off

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    April 3, 2014 | 10:15 am
    IOWA CITY, Iowa (AP) A company is trying to get out of paying an Iowa utility millions in a construction dispute by claiming that a retired judge who oversaw the arbitration proceedings had serious hearing problems and napped during the case.

    Dustex Corp. asked a federal court in Iowa this week to vacate a $3.4 million arbitration award in favor of the municipal utility in Cedar Falls.

    Kennesaw, Ga.-based Dustex argues that it didn't receive a fair hearing due to the behavior of 76-year-old arbitrator Marshall Young, a retired state and federal judge in South Dakota.

    Young chaired a three-member panel that heard a dispute over pollution-reducing equipment installed at a Cedar Falls power plant in 2007, which didn't work as intended.

    The panel ordered Dustex and two other companies to pay $3.4 million.