The Eighth Circuit made quick work of a nursing home’s argument in favor of compelling arbitration this week. In a suit alleging negligent care of a resident, the court ruled that the arbitration agreement was not enforceable because the resident never signed it. GGNSC Omaha Oak Grove, LLC v. Payich, __ F.3d __, 2013 WL 776811 (8th Cir. March 4, 2013).
The fact pattern in this case is probably a common one. When the mother entered the nursing home’s care, she did not sign either the Admission Agreement or the separate Arbitration Agreement. Instead, her son signed his own name on both of those documents. However, her son did not have power of attorney.
