Has Nevada Banned Mandatory Arbitration Provisions In Articles And Bylaws?

Allen Matkins
Contact

Allen Matkins

Recently, I wrote about Nevada's enactment of legislation that will permit a Nevada corporation to include in its articles of incorporation a provision requiring any, all or certain internal actions must be brought solely or exclusively in the court or courts specified in the requirement, which must include at least one court in Nevada.  Any such provision must be "not inconsistent with" applicable jurisdictional requirements.  The legislation defines "court" to mean any court of:

"(1) This State [Nevada], including, without limitation, those courts in any county having a business court, as that term is defined in NRS 13.050;
(2) A state other than this State [Nevada]; or
(3) The United States.

Noticeably absent is any mention of arbitration. If the statute is interpreted under the principle of expressio unius est exclusio alterius, it seems that by authorizing exclusive judicial fora, the legislature has prohibited arbitral fora.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Allen Matkins | Attorney Advertising

Written by:

Allen Matkins
Contact
more
less

Allen Matkins on:

Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
Custom Email Digest
- hide
- hide