(a) On a finding described by Subsection (b), a court shall:
(1) on application of an institution, vacate an arbitrator's order with respect to an arbitration conducted at the election of the department; or
(2) on application of the department, vacate an arbitrator's order with respect to an arbitration conducted at the election of an institution.
(b) A court shall vacate an arbitrator's order under Subsection (a) only on a finding that:
(1) the order was procured by corruption, fraud, or misrepresentation;
(2) the decision of the arbitrator was arbitrary or capricious and against the weight of the evidence; or
(3) the order exceeded the jurisdiction of the arbitrator under Section 242.264(a).
(c) If the order is vacated, the dispute shall be remanded to the department for another arbitration proceeding.
(d) A suit to vacate an arbitrator's order must be filed not later than the 30th day after:
(1) the date of the award; or
(2) the date the institution or department knew or should have known of a basis for suit under this section, but in no event later than the first anniversary of the date of the order.
(e) Venue for a suit to vacate an arbitrator's order is in the county in which the arbitration was conducted.