The City of Ottawa plans to appeal after an arbitrator ruled it must pay $2.24 million to Coliseum Inc. for breaching a contract to relocate a soccer dome from Lansdowne Park.

Councillor Rick Chiarelli said there were "pretty significant errors" in the decision.

Coliseum Inc. sued for more than $6.5 million after it was forced to move its dome from Frank Clair Stadium due to the Lansdowne Park redevelopment.

City officials had agreed to help Coliseum relocate its dome to a University of Ottawa field but the plan fell apart. The 2012/2013 indoor soccer season was cancelled for thousands of players. 

Chiarelli, who sits on the finance and economic development committee, said the city's lawyer has been instructed to appeal the arbitrator's decision.

"Well, we're surprised. When we look at the 157-page decision, we see that it has some pretty significant errors — surprising errors — and we're going to be appealing the decision," he said.

The City hopes the settlement can be put aside until the appeal process is complete.