News & Analysis as of

Nitty Gritty Advice for Compelling Arbitration under the FAA

I regularly receive questions about compelling arbitration under the Federal Arbitration Act. In particular, people ask : (1) Can I file a motion to compel before any other “complaint” is filed; (2) What should I call my...more

Employer Cannot Compel Former Employee to Arbitrate Claims After Failing to Follow Preliminary Steps of the Contractual...

The issue before the Court of Appeal for the Second Appellate District was whether KTLA, LLC, a Los Angeles based broadcaster, could compel a former employee, Kurt Knutsson, to arbitrate his claims against KTLA. (Knutsson v....more

Clicking “I Agree” Renders Mandatory Arbitration Provision Enforceable

Day in and day out, Internet users sign various forms of agreements for a variety of reasons, from joining a dating site, to participating in an online auction, to uploading media to a storage locker. These agreements,...more

International Arbitration Newsletter - June 2014

In This Issue: -The ABCs of Arbitrating Outside of the New York Convention - Leading International Arbitration Partner Joins Latham & Watkins in Paris - US Supreme Court Revives International Arbitration...more

First Things First: There Must Be An Arbitration Agreement In Order To Compel Arbitration

Two courts recently refused to compel arbitration because the defendants could not prove that the parties had entered into an arbitration agreement at all. Therefore, the musical accompaniment to this post is “Do Re Mi” from...more

Florida Litigation Update: Arbitration Clauses are Not Always Enforceable

In Basulto, et. al. v. Hialeah Automotive, etc., et. al., SC09-2358 (March 20, 2014), the Florida Supreme Court addressed the enforceability of an arbitration clause between a car dealership and purchasers. In the Basulto...more

Two Federal Circuits Find Health Insurance Claims Outside Scope Of Arbitration Clauses

Because courts apply a presumption of arbitrability when they analyze whether particular claims fall within the scope of an arbitration clause, and arbitration clauses are generally drafted very broadly, I don’t usually get...more

Court Construes Ambiguous Arbitration Clause Broadly And Compels Arbitration

The dispute involved a claim for benefits under a policy insuring a marine construction site damaged in 2008 by Hurricane Ike. The insured contended that the policy did not provide for arbitration, but instead provided only...more

General Mills dips a toe in forced arbitration for sweepstakes, contests

Last week, The New York Times reported that General Mills added language to its website notifying its customers that if they downloaded a coupon, joined the company’s online community on places like Facebook, or entered a...more

The Construction Advantage – Issue 3

Reaffirming the Iron Hand of an Arbitration Agreement - Does the fact that the named arbitration company has gone out of business make an arbitration clause unenforceable? Given the legislative bias toward arbitration,...more

Treaty Tips: The Service Of Suit Provision

One common provision in reinsurance agreements is a Service of Suit provision, which typically provides that the parties consent to the jurisdiction of “any court of competent jurisdiction.” The breadth of the traditional...more

Arbitration Clauses Survive Their Contracts 99% Of The Time

The Sixth Circuit recently answered a question I get asked regularly: does an arbitration clause survive the termination of the contract containing it? I usually say yes, and thankfully the Sixth Circuit backed me up....more

Is It Time To Include Mandatory Arbitration Clauses In All Reinsurance Policies? Mandatory Clauses Could Avoid Unnecessary Future...

Recent reports on the continued easing of collateral requirements for non-US reinsurers that operate in the US, raise the question: with the anticipated, increased presence of non-US reinsurers state-side, will more...more

Fifth Circuit Delivers Crippling Blow to Controversial NLRB Class Action Waiver Theory

Arbitration is generally supposed to be faster, cheaper, and more predictable than litigation. Homebuilder D.R. Horton, like many other employers, certainly believed this when, in 2006, it began requiring employees to sign...more

Tenth Circuit Holds FAA Preempts New Mexico Law On Unenforceability Of Unconscionable Arbitration Provisions

On January 28, the U.S. Court of Appeals for the Tenth Circuit held that the Federal Arbitration Act (FAA) preempts New Mexico common law that a compulsory-arbitration provision in a contract may be unconscionable and...more

D.R. Horton on Steroids: NLRB Invalidates Arbitration Agreement Without Class Waiver

As reported previously here, the National Labor Relations Board (“NLRB” or the “Board”) in D.R. Horton, Inc., 357 NLRB No. 184 (2012), held that requiring employees to enter into an arbitration agreement containing a...more

D.R. Horton Still Alive: NLRB Judge Says Employer’s Intent to Compel Employees to Waive Class Claims Renders Arbitration Clause...

Although the Circuit Courts of Appeals that have addressed the issue currently stand united in the view that class arbitration waivers in individual employment contracts do not violate the National Labor Relations Act...more

NLRB Standing (read “Expanding”) Ground on D.R. Horton

In the controversial 2012 decision D.R. Horton, Inc., the NLRB held that mandatory arbitration agreements requiring all employment disputes to be resolved through individual (as opposed to class) arbitration violate NLRA §...more

Incorporating Arbitration Agreements By Reference: The Key Is Reasonable Notice

In recent months, three federal circuit courts have confronted this question: can a defendant compel arbitration even in the absence of a signed written agreement containing an arbitration clause? The answers were yes, no,...more

D.R. Horton and the Arbitration Hotchpotch: Emerging “Rules” and the Future of Compelled Arbitration in California

Last December, the Fifth Circuit issued its long-awaited decision in D.R. Horton, Inc. v. NLRB, holding that employers may require employees to sign arbitration agreements categorically waiving the right to pursue employment...more

Which Arbitration Agreement Clauses Will Texas Courts Find Unconscionable?

In recent years, courts have consistently supported employers’ use of arbitration agreements in employment settings. During the last few terms, the Supreme Court of the United States has issued several decisions, such as...more

The Easiest Arbitration Agreement To Avoid May Be The One Between Attorney And Client

The First and Ninth Circuits recently issued opinions concerning the validity of state laws requiring “informed consent” to, or “full disclosure” of, arbitration clauses in attorney retainer agreements. Although the First...more

Fifth Circuit Overrules NLRB On D.R. Horton Mandatory Arbitration Case

As we previously reported, in D.R. Horton, the NLRB held that a mandatory arbitration agreement that waives employees’ rights to participate in class or collective actions is unlawful under the National Labor Relations Act...more

Fifth Circuit Reverses NLRB Position on Use of Class and Collective Action Waivers in Mandatory Arbitration Agreements

On Tuesday, the Fifth Circuit Court of Appeals overturned a decision of the National Labor Relations Board that declared class and collective action waivers in mandatory employment arbitration agreements to violate federal...more

Enforcing Your Arbitration Agreement: Why, How, And Whether

In This Issue: - What Law Applies to Arbitration Clauses? - What Do You Have to Prove? - How Have Courts Treated Motions to Compel Arbitration? - Do You Want to Enforce Your Arbitration? - What Should...more

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