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Third Circuit Affirms Confirmation of Arbitration Award Despite Challenge That Damages Figure Was Completely Irrational

In a challenge to an arbitration award on the basis that the arbitrators exceeded their powers in determining damages, the Third Circuit affirmed the District of New Jersey’s confirmation of the award....more

Fifth Circuit Affirms Arbitration Award and Finds Panel Was Fairly Constituted and Did Not Award Punitive Damages

In addition to awarding monetary damages against the defendants, the arbitration panel ordered that the defendants be divested of their shares in the plaintiff corporation. The defendants sought to vacate the award, arguing...more

Massachusetts District Court Appoints Arbitrator in Light of Parties Inability to Do So

When two parties in an arbitration were unable to select a “mutually agreeable” arbitrator, the Massachusetts district court stepped in to handle the selection. The parties’ arbitration agreement provided that the parties...more

Maryland District Court Finds Damages Award, Not Liability Award Was “Final” Decision Triggering Time to Challenge Award Under FAA

The plaintiff moved to vacate an arbitration award and the defendant moved to dismiss and confirm. The defendant’s dismissal motion challenged confirmation of an arbitration award, arguing that the matter was filed in...more

Without Jurisdiction or Authority to Review, California Appellate Court Dismisses Appeal of Trial Court’s Statement of Decision

Finding that a California trial court’s statement of decision was not a judgment or appealable order, the California Court of Appeal dismissed the appeal, having no jurisdiction or authority to review it....more

Second Circuit Finds Arbitrator Within Authority to Bind Absent Class Members to Arbitration

In reversing a New York federal court, the Second Circuit found the arbitration was within the arbitrator’s authority in binding absent class members to class proceedings because, by signing the operative arbitration...more

Ninth Circuit Affirms Summary Judgment in Favor of Boeing and District Court’s Application of Swedish and U.K. Law

The parties entered into a joint venture to launch commercial satellites into space from an ocean platform, which venture ultimately failed. As a result of certain guarantees, Boeing paid $449 million to cover loans made to...more

California Court Finds Arbitration Agreement Invalid and Unenforceable as a Result of Economic Duress and Undue Influence

The plaintiff, an agricultural laborer, brought suit against his employer who, in turn, moved to compel arbitration based on the arbitration agreement in the parties’ employment contract. The plaintiff opposed, successfully...more

Texas Magistrate Denies Motion for Attorneys’ Fees Incurred in Seeking Confirmation of Arbitration Award

The plaintiff successfully confirmed an arbitration award concerning certain franchise agreements and then sought attorneys’ fees and costs incurred in connection with its confirmation action based on the attorneys’ fees...more

Court of Federal Claims Finds HHS Offset Invalid Under Colorado’s Insurance Liquidating Priority Scheme

The U.S. Department of Health and Human Services’ Centers for Medicare and Medicaid Services (HHS) operates the reinsurance and risk-adjustments program for Colorado, including the application of the “netting rule” — a method...more

Oklahoma Supreme Court Reverses Course: Finds Arbitration Clause Printed on Shingles’ Wrapping Did Not Bind Homeowner to Arbitrate

A third-party contractor installed the defendant’s shingles on the plaintiffs’ roof. Subsequently, the plaintiffs filed suit for damages allegedly caused by the defendant’s faulty shingles and replacement of their roof. The...more

Appearance by Video Might Be More Convenient for a Nonparty in Arbitration, but It Can’t Be Compelled Under the FAA

You find yourself in an arbitration needing documents and testimony from a nonparty. Your arbitrator issues a nonparty summons, “conveniently” requiring the out-of-state nonparty to appear by video at a hearing and produce...more

District of Idaho Rejects Challenges to Arbitration Award

The defendant sought to vacate an arbitration award on the basis of arbitrator misconduct and manifest disregard of the law or, in the alternative, modification of the award....more

Nevada Supreme Court Reverses Ordered Arbitration as the FAA Preempts NRS 597.995

Nevada Revised Statutes section 597.995 requires agreements that include an arbitration provision to also include a specific authorization for the arbitration provision showing that the parties affirmatively agreed to that...more

Intervenor-Defendant Obtains Stay of SDNY Action in Favor of Arbitration 14 Months After Complaint Filed

The plaintiff and intervenor-defendant entered into a contract wherein they agreed to arbitrate claims arising out of the contract. Following a dispute, the plaintiff asserted that the intervenor-defendant had waived its...more

District of Connecticut Enforces Amex Arbitration Clause Where Cardmember Did Not “Opt Out”

In a dispute involving fraudulent charges, the District of Connecticut required American Express and the cardmember to resolve their issue in arbitration, pursuant to the cardmember agreement, as amended. AmEx provided notice...more

NDNY Finds Party Waived Right to Pursue Employment-Related Claims and Confirms Arbitration Award

The plaintiff voluntarily signed an employment agreement that provided that any and all employment-related disputes arising out of the plaintiff’s employment would be subject to confidential arbitration. Following his...more

NDNY Unable to Resolve Ambiguity in Umbrella Policies and Sets Trial

On remand from the Second Circuit, the Northern District of New York was asked to determine whether Utica Mutual Insurance Co. (the cedent) had a defense obligation under its umbrella policies. If it did, then Utica would be...more

New York’s Highest Court Holds Untimely Disclosure Is Not an Untimely Disclaimer

The defendant, Preferred Contractors Insurance Company Risk Retention Group LLC (PCIC), is a risk retention group charted in Montana and doing business in New York. PCIC issued a CGL policy naming defendant Nadkos Inc. as an...more

New York Federal Court Punts Request for Foreign Reinsurer to Post Security Back to Arbitrators

The Southern District of New York found that New York Insurance Law section 1213(c)(1), requiring that foreign insurers post sufficient security, applied to the defendant, a foreign reinsurer in liquidation, in order for the...more

Maryland Federal Court Denies Untimely Request to Vacate Arbitration Award

Pursuant to the FAA, a motion to vacate, modify, or correct an arbitration award must be served within three months after the award is filed or delivered. 9 U.S.C. § 12. Thus, a Maryland federal court held that the...more

Florida Federal Court Compels Arbitration of Coverage Dispute Under the New York Convention

The plaintiff sought coverage for property loss due to Hurricane Irma, and the defendant successfully moved to compel arbitration. The plaintiff opposed arbitration, arguing that the subject policy was unsigned and thus did...more

Fifth Circuit Reverses Ruling That Procedural Unconscionability Is Decided by Arbitrator

The plaintiff challenged the formation of an arbitration clause contained in her employment contracts and acknowledgment of employee handbooks, arguing: (1) there was no “meeting of the minds” and therefore there was not the...more

An Agreement to Arbitrate Is Not a Contract Defense Under Montana Law

The Ninth Circuit reversed the District of Montana’s denial of a motion to compel arbitration on the grounds that “the insurer was estopped from asserting contract defenses as a result of its breach of its duty to defend.” ...more

Second Circuit Affirms Ruling Rejecting Lack of Notice Defense Under New York Convention Article

Affirming the confirmation of a Chinese arbitral award under the Convention on the Recognition and Enforcement of Foreign Arbitral Awards, the Second Circuit held that notice mailed directly to an entity is sufficient to...more

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