News & Analysis as of

Non-Signatories

TN Trust Code Authorizes Pre-Dispute Arbitration Agreement: Not Per Se Breach of Duty, but May Not Bind Non-Signatory Beneficiary

by Burr & Forman on

The Tennessee Supreme Court recently held that Tennessee’s Trust Code and broad trust-instruments authorize a Trustee’s execution of a pre-dispute arbitration clause. That isn’t a per se breach of fiduciary duty, but the...more

Non-Signatories Succeed In Compelling Arbitration In State Courts

The high courts of two states have allowed non-signatories to compel arbitration in recent weeks. The cases show courts are addressing non-signatory issues using different standards and raise important drafting issues for...more

Extending your reach to the "invisible parties" to the arbitration agreement

by Dentons on

Aggrieved claimants may sometimes seek to extend their claims not only to the company that agreed to arbitrate disputes – but also to that company’s shareholders or ultimate controlling person(s). Such efforts are usually...more

Third Parties Fail To Force Arbitration in Three Circuits

The “Summer of Arbitration” draws to a close today, if you can believe it. (On the first day of fall, it is supposed to be 91 degrees in Minnesota. Yikes.) But before I close that chapter, let’s take a look at a theme that...more

Under Construction - September 2017

by Snell & Wilmer on

Welcome to the fall 2017 edition of our Under Construction newsletter. We hope your summer has left you relaxed and refreshed to make the final push to successfully finish out the remainder of the year. In this issue, we...more

Chris Lazarini Discusses Arbitration Clause's Application to Non-Signatory

by Bass, Berry & Sims PLC on

Bass, Berry & Sims attorney Chris Lazarini discussed a case involving a Plaintiff's suit against a broker-dealer involving his deceased mother's IRA account. Although Plaintiff was a non-signatory to the IRA account...more

Un-Vacated: Nevada Supreme Court Confirms $6.7M Franchise Arbitration Award

In a decision that is very skinny on the facts, a unanimous Nevada Supreme Court recently un-vacated a significant arbitration award in a dispute over dental franchises. In Half Dental Franchise, LLC v. Houchin, 2017 WL...more

Arbitration Agreement Enforceable Against Non-Signatory Spouse Because Community Property

by Dorsey & Whitney LLP on

You know how the vows go: “for richer or for poorer, in sickness and in health, in district court or in arbitration…” Wait a minute. Last Wednesday, a federal district court in Arizona held that a TCPA plaintiff was...more

Forum Selection Clause Covers Extra-Contractual Claims

by Strasburger & Price, LLP on

Forum-selection clauses afford an opportunity to contractually preselect the jurisdiction for dispute resolution. While forum-selection clauses are enforceable, parties often disagree about their scope and whether they can be...more

Arbitration Agreement Enforced on Behalf of Nonsignatory

by Seyfarth Shaw LLP on

Seyfarth Synopsis: The California Court of Appeal has utilized theories of equitable estoppel and agency to hold that an employee must arbitrate claims he asserted against an alleged joint employer, even though that defendant...more

Constructive Trusts Can Catch Wayward Trust Assets

by Downey Brand LLP on

Trustees in California trust disputes should not overlook the power of the constructive trust remedy as a way to recover errant trust assets. That’s a takeaway from Higgins v. Higgins (2017) __ Cal.App.5th __, an opinion in a...more

Arbitration Clauses Extending to Non-Signatory Affiliates: Are They Enforceable?

A recent decision of the New Jersey Court of Appeals considered the enforceability of arbitration agreements by non-signatories. In Foti v. Toyota Motor Sales, U.S.A., Inc., the plaintiff filed a putative class action...more

Eleventh Circuit Looks To Alabama’s Doctrine Of “Intertwining” To Determine Non-Signatory Cannot Be Compelled To Arbitrate

by Carlton Fields on

Under Alabama law, “arbitration may be compelled under the doctrine of ‘intertwining’ where arbitrable and nonarbitrable claims are so closely related that the party to a controversy subject to arbitration is equitably...more

Chris Lazarini Provides Insight on Compelling Non-Signatories to Arbitrate Disputes

by Bass, Berry & Sims PLC on

Bass, Berry & Sims attorney Chris Lazarini provided insight on a case in which a widow and one-time named beneficiary of her husband's IRA account acquired the account assets after her husband's death, although she was not...more

Applying The Statute Of Frauds Apply To “Et Al.”

by Allen Matkins on

Charles II, aka the “Merry Monarch”, was sitting on the English throne when the original Statute of Frauds was enacted in 1677. Therefore, one should be forgiven for the mistaken presumption that all questions involving the...more

Eleventh Circuit: Arbitration Clauses Are Like Makeup – They Only Cover So Much

by Dorsey & Whitney LLP on

The Kardashians, America’s favorite celebrity family, have been having a tough time of late, with Kim Kardashian being robbed at gunpoint in her Paris apartment, and her husband Kanye West attracting criticism for his support...more

Fifth Circuit Affirms Denial Of Motion To Compel Arbitration Against Non-Signatory To Arbitration Agreement

by Carlton Fields on

The appeal arose from a consolidated case, originally three separate class actions, resulting from the alleged underfunding of Singing River Health System’s pension plan and KPMG’s alleged failure to detect that underfunding...more

Kardashians Kept Out of Arbitration (and other recent arbitration news)

Just three weeks into the year and already my pile of arbitration cases is a skyscraper! So, I will cover a lot of ground in this update. First, the headline. Kimberly, Kourtney, and Khloe Kardashian moved to compel...more

The Tie that Binds: Enforceabliity of Merger Provisions Against Non-signatory Shareholders

by Snell & Wilmer on

The Predicament - One challenge encountered in M&A deals is how to bind all shareholders of the target company to all deal terms. For private companies with few shareholders, this is not much of a challenge. However,...more

Court Compels Non-Signatory Affiliates, But Not Broker, To Arbitrate Premium Payment Dispute

by Carlton Fields on

National Union Fire Insurance Company of Pittsburgh brought a petition in a New York federal court, to compel nine related companies to arbitrate a payment dispute relating to certain policies of insurance issued to the...more

Latest Developments in Arbitration for the Construction Law Practitioner

by Jackson Walker on

G. T. Leach Builders V. Sapphire V.P.: Non-Signatories’ Right to Compel Arbitration; Waiver of Right to Arbitrate - By far, the most recent, significant arbitration development for construction law practitioners was the...more

Arbitration Provision Enforced Against Non-Signatory Insurer

by Carlton Fields on

The court confirmed an award in favor of two affiliated power supplier companies (“Alstom”), against the subrogated insurer of one of their corporate customers damaged in an accident involving Alstom’s equipment. Alstom and...more

Alabama Acknowledges AAA Rules Authorize Arbitrator To Determine Whether Non-Signatory Is Bound

The Alabama Supreme Court has followed the Eighth Circuit’s lead, concluding that when the parties agree to arbitrate pursuant to the AAA Rules, they have clearly and unmistakably authorized the arbitrator to determine who is...more

Court Decides Successor In Merger May Enforce Arbitration Clause

by Allen Matkins on

Can a party to written agreement that does not include an arbitration clause enforce an arbitration provision in another agreement to which it is not a party? Boiled down to the essentials, this is the question decided...more

Bulletin: SAG-AFTRA Issues Member Alert to Organize Droga5

by Reed Smith on

SAG-AFTRA’s pledge to increase efforts in enforcing the SAG-AFTRA Commercials Contract and the Radio Recorded Commercials Contract was on full display with its latest Member Alert to organize Droga5, a non-signatory ad...more

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