Collection Actions: 3.2.3 When a Collection Action Is Brought Before an Arbitrator
Until 2009, hundreds of thousands of collection actions were brought before the National Arbitration Forum (NAF), instead of in court. The NAF is a private arbitration forum with no governmental connection. An arbitrator selected by the NAF, pursuant to NAF rules, would issue an award (invariably for the collector). When the collector confirmed that award in court, the award had the same effect as a court judgment, allowing the collector to garnish wages and seize bank accounts.