Applying California law, the Northern District of Texas stated a nonsignatory to an arbitration agreement “may invoke an arbitration clause to compel a signatory plaintiff to arbitrate its claims when the causes of action against the nonsignatory are intimately founded in and intertwined with the underlying contract obligations.” The court continued,
When a nonsignatory seeks to enforce an arbitration clause, the doctrine of equitable estoppel applies in two circumstances: (1) “when the signatory...
On November 22, the Supreme Court of Texas agreed to hear Venture Cotton Cooperative et al. v. Freeman et al., No. 13-0122. The case is currently on appeal from Texas’ 11th Court of Appeals. The main issue in the dispute is whether an arbitration agreement is unconscionable where the terms of a contract state that one party is allowed to collect attorney’s fees following a breach, but the other is not. Both the trial court and the 11th COA held the provision rendered the agreement substantively...
The U.S. Supreme Court’s decision in Genesis Healthcare Corp. v. Symczyk, 133 S.Ct. 1523 (2013) quickly sparked a debate over the ruling’s future impact on Federal Rule of Civil Procedure 23 class actions. In the months following the decision, federal courts have handed down conflicting rulings on the effect of a Federal Rule of Civil Procedure 68 offer of judgment, such as that in Genesis, on a pending, putative class action. Some courts have held that an offer of judgment moots a class representative’s...
In the past few weeks, Russia has abolished its main commercial court and Singapore has announced its plan to open one. The events appear to be unrelated, but it seems likely that the ripples from each may reach the other.
On November 28, the Financial Times printed a headline that read “Moscow Abolishes Commercial Court.” The paper reported that the “Federal Council, the upper house of parliament, yesterday changed the constitution to allow the merger of the Supreme Court of Arbitration...
Ali Khan, Professor of Law at Washburn University School of Law, has published an interesting article entitled, Arbitral Autonomy, Louisiana Law Review, Vol. 74, No. 2, 2013. In his paper, Professor Khan discusses the need to minimize court challenges to arbitration in order to successfully achieve arbitral autonomy.
Here is the abstract:
This Article presents concrete proposals to amend the current arbitration law for minimizing court intervention into arbitration proceedings and enforcement...
In 2010, plaintiff James Palese (Palese) sold two companies to defendant Tanner Bolt & Nut, Inc. (Tanner), and Tanner hired Palese as the General Manager of its new Herman's Hardware Division, which included Palese's companies. Palese entered into a five-year Employment Agreement with a broad arbitration clause calling for arbitration of "all claims . . .in any way relating" to the Employment Agreement. At the same time, he entered into two Asset Purchase Agreements, which provided that...
On November 25, 2013, Judge Scheindlin of the Southern District of New York issued an opinion in Laumann v. National Hockey League, granting in part and denying in part a motion to compel arbitration brought by defendant Comcast and denying in full a similar motion brought by defendant DIRECTV. Plaintiffs claim that defendants, including the National Hockey League and Major League Baseball, along with the major cable and satellite television service providers entered into "agreements to eliminate...