Arbitration

Alleged pre-employment misrepresentations were within scope of employment agreement arbitration clause

The prospective employee in California was promised certain compensation and commissions if he joined the company in Illinois. When he joined, he signed an employment agreement calling for arbitration of disputes in New York. It was not a good marria… Read More
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An issue outside the scope of the arbitration clause? Handle with care!

One of the limited bases to object to an arbitration award, under the Federal Arbitration Act or any of the state arbitration laws, is that the arbitrator ruled on an issue outside the scope of the arbitration agreement. Another concept, supported by… Read More
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Arbitrability of Class Action Claims – Turn-About is Fair Play

The normal pattern is for employees or consumers to challenge in court the scope of arbitration, and whether it is for the arbitrator or the court to make that determination. A California federal court judge has issued a decision against Guess?, Inc.… Read More
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Arbitration Clause May Not Be Effective Waiver of Right to Trial

A New Jersey Appellate Division court has held that an arbitration clause must effectively spell out what court or litigation rights are being given up, in order for the parties to be required to arbitrate. The decision makes no mention of the Federa… Read More
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Owner’s Claim for Defective Work Not Barred by Prior Arbitration

A contractor who successfully pursued payment in arbitration objected when the public authority owner subsequently filed a lawsuit claiming defective work. The contractor argued that the lawsuit was barred by doctrines of res judicata or collateral e… Read More
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Reference to Arbitration Did Not Toll Statute of Limitations

Where homeowners sought to arbitrate an insurance coverage dispute within the two-year statute of limitations, but the carrier declined to do so, the homeowners’ failure to file a lawsuit within that two-year period resulted in the claim being dism… Read More
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Right To Challenge Arbitration Award Cannot Be Waived By Contract

A subcontract arbitration clause states that the parties may take steps to confirm an arbitration award, but agree not to challenge any award. A Georgia appellate court has held that the restriction on challenging an award impinges on the Georgia Arb… Read More
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Closing Out An Arbitration Award (How Not To)

Two contractors concluded arbitration proceedings and the panel issued its award in February 2011. Upon request of one party, the panel amended its award to address outstanding liens, in March 2011. The amended award required certain lien waivers to… Read More
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Criticize the Contractor? An Arbitration Award for Defamation

Hell hath no fury like a homeowner scorned, particularly one with access to sophisticated IT professionals who will establish and optimize a website solely to criticize the contractor. But the cabinetry contractor – whose arbitration award includin… Read More
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Arbitration Venue: Where the Parties Agreed, Despite State Law

The contract calls for arbitration in Indiana, applying the laws of Nebraska. But Nebraska has a law prohibiting parties from being compelled to arbitrate outside that state for an in-state project. In a GC/sub dust-up including lawsuits in both stat… Read More
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