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Arbitration
Texas: Arbitration, Collateral Estoppel, and Collective Bargaining Agreements
June 4, 2015
In City of San Antonio v. Cortes, the San Antonio Court of Appeals held that the trial court should have compelled arbitration...
June 4, 2015
In City of San Antonio v. Cortes, the San Antonio Court of Appeals held that the trial court should have compelled arbitration...
Don’t Call It a Trial
June 3, 2015
Gary McGowan is a noted arbitrator and mediator based in Houston, but with a national and international presence. Gary is scheduled to join the State Bar of Texas ADR Section Council as a councilmember this summer. Gary's written an article, "Don't Call It a Trial: What Litigators Should Know about Arbitration" which was published in The Houston Lawyer. The article describes itself as a primer on arbitration, providing definitions of terms, the importance of the arbitration contract, and outlining...
June 3, 2015
Gary McGowan is a noted arbitrator and mediator based in Houston, but with a national and international presence. Gary is scheduled to join the State Bar of Texas ADR Section Council as a councilmember this summer. Gary's written an article, "Don't Call It a Trial: What Litigators Should Know about Arbitration" which was published in The Houston Lawyer. The article describes itself as a primer on arbitration, providing definitions of terms, the importance of the arbitration contract, and outlining...
Kmart Cannot Enforce Arbitration Agreement with Class of Infant (Minor) Plaintiffs
June 2, 2015
In 2013, Kmart hired Adrian Lopez, then age 16, as a cashier. Before beginning work, Lopez received online training, and in order to do so, he had to acknowledge receipt of various Kmart forms, including an arbitration agreement. One month after turning 18, Lopez filed a putative class action lawsuit against his employer for breaches of California's wage and hours laws. Kmart sought to compel arbitration. Under California Family Code § 6710, minors (under the age of 18) may enter into contracts,...
June 2, 2015
In 2013, Kmart hired Adrian Lopez, then age 16, as a cashier. Before beginning work, Lopez received online training, and in order to do so, he had to acknowledge receipt of various Kmart forms, including an arbitration agreement. One month after turning 18, Lopez filed a putative class action lawsuit against his employer for breaches of California's wage and hours laws. Kmart sought to compel arbitration. Under California Family Code § 6710, minors (under the age of 18) may enter into contracts,...
Timeliness of Arbitration Demand for the Arbitrator to Decide, Not the Court
June 2, 2015
In G.T. Leach Builders LLC v Sapphire V.P., LP, No. 13-0497 (Tex. 2015), a complex construction-project-related dispute involving multiple parties and multiple contracts, the Texas Supreme Court recently addressed a number of important arbitration-related issues. Most notably, it reversed the intermediate court of appeals on the matter of whether the court or the arbitrator gets to decide whether the arbitration demand was timely asserted. The Supreme Court, in an opinion by Jeff Boyd, concluded...
June 2, 2015
In G.T. Leach Builders LLC v Sapphire V.P., LP, No. 13-0497 (Tex. 2015), a complex construction-project-related dispute involving multiple parties and multiple contracts, the Texas Supreme Court recently addressed a number of important arbitration-related issues. Most notably, it reversed the intermediate court of appeals on the matter of whether the court or the arbitrator gets to decide whether the arbitration demand was timely asserted. The Supreme Court, in an opinion by Jeff Boyd, concluded...
Delaware Rapid Arbitration Act Promises Speedy Arbitrations
May 23, 2015
A powerful new tool now exists for companies seeking quick, efficient, and private resolution of business disputes. The Delaware Rapid Arbitration Act (DRAA), enacted in April 2015, streamlines the process for initiating arbitrations, sets tight deadlines for completion, automatically confirms awards without court intervention, and provides speedy and final resolution of challenges directly to the Delaware Supreme Court. And the DRAA cleverly ensures quick completion of the process by imposing financial...
May 23, 2015
A powerful new tool now exists for companies seeking quick, efficient, and private resolution of business disputes. The Delaware Rapid Arbitration Act (DRAA), enacted in April 2015, streamlines the process for initiating arbitrations, sets tight deadlines for completion, automatically confirms awards without court intervention, and provides speedy and final resolution of challenges directly to the Delaware Supreme Court. And the DRAA cleverly ensures quick completion of the process by imposing financial...
Current Trends in International Investment Arbitration
May 22, 2015
As global trade and investment continue to expand at an almost exponential rate, firms and their legal teams are increasingly exploring how to address disputes that cross borders. Although there are various ways in which dispute resolution may occur in cross-border contexts, international arbitration is becoming increasingly popular. Further, within international arbitration, it is international investment arbitration that seems to have garnered the lion’s share of recent headlines. For example,...
May 22, 2015
As global trade and investment continue to expand at an almost exponential rate, firms and their legal teams are increasingly exploring how to address disputes that cross borders. Although there are various ways in which dispute resolution may occur in cross-border contexts, international arbitration is becoming increasingly popular. Further, within international arbitration, it is international investment arbitration that seems to have garnered the lion’s share of recent headlines. For example,...
Fifth Circuit Upholds Fee Award
May 8, 2015
In Campbell Harrison & Dagley, LLP v. Hill, the Fifth Circuit Court of Appeals analyzed the trial court's order that vacated most of an arbitration award. The arbitrators awarded the law firms their fees, based upon a hybrid hourly-rate fee (approximately $3.15 million) and a contingency fee (approximately $25 million). The district court vacated the arbitrators' award of the contingency fee, which was challenged on appeal to the Fifth Circuit. The Fifth Circuit Court of Appeals examined the Texas...
May 8, 2015
In Campbell Harrison & Dagley, LLP v. Hill, the Fifth Circuit Court of Appeals analyzed the trial court's order that vacated most of an arbitration award. The arbitrators awarded the law firms their fees, based upon a hybrid hourly-rate fee (approximately $3.15 million) and a contingency fee (approximately $25 million). The district court vacated the arbitrators' award of the contingency fee, which was challenged on appeal to the Fifth Circuit. The Fifth Circuit Court of Appeals examined the Texas...
Texas Supreme Court Will Not Force Parties To Arbitrate Unless There’s An Agreement
April 30, 2015
In G.T. Leach Builders, LLC v. Sapphire V.P., LP, the Texas Supreme Court examined whether a property developer must arbitrate its claims against several defendants involved in a construction project. The trial court denied all of the defendants' motions to compel arbitration and that decision was affirmed by the court of appeals. The Texas Supreme Court held that the developer must arbitrate its claims against the general contractor, but not against the other defendants because there was an arbitration...
April 30, 2015
In G.T. Leach Builders, LLC v. Sapphire V.P., LP, the Texas Supreme Court examined whether a property developer must arbitrate its claims against several defendants involved in a construction project. The trial court denied all of the defendants' motions to compel arbitration and that decision was affirmed by the court of appeals. The Texas Supreme Court held that the developer must arbitrate its claims against the general contractor, but not against the other defendants because there was an arbitration...
Fifth Circuit: Arbitrator’s Attorney’s Fee Award Reinstated
April 29, 2015
The Fifth Circuit Court of Appeals reversed a District Court judgment and reinstated an arbitrator's attorney's fees award last week. The case is Campbell Harrison & Dagley v. Hill, No. 14-10631 (5th Cir., April 2, 2015). The underlying claim is an attorney's fees dispute that arose after Hill terminated two law firms' litigation services. The contract between the Hill and each law firm provided for a hybrid-fee agreement with an hourly rate plus a contingency. Hill later settled his underlying...
April 29, 2015
The Fifth Circuit Court of Appeals reversed a District Court judgment and reinstated an arbitrator's attorney's fees award last week. The case is Campbell Harrison & Dagley v. Hill, No. 14-10631 (5th Cir., April 2, 2015). The underlying claim is an attorney's fees dispute that arose after Hill terminated two law firms' litigation services. The contract between the Hill and each law firm provided for a hybrid-fee agreement with an hourly rate plus a contingency. Hill later settled his underlying...
New Rapid Arbitration Available in Delaware
April 29, 2015
New legislation was recently passed in Delaware to provide a procedure for expedited arbitration of business disputes. The key features of the new law, called the Delaware Rapid Arbitration Act, include: The decision of the arbitrator must be made within 120 days Appeals are made directly to the Delaware Supreme Court The arbitrator decides issues of arbitrability (which is designed to avoid the multitude of disputes, often noted on these pages, in which a court is asked to determine if an issue...
April 29, 2015
New legislation was recently passed in Delaware to provide a procedure for expedited arbitration of business disputes. The key features of the new law, called the Delaware Rapid Arbitration Act, include: The decision of the arbitrator must be made within 120 days Appeals are made directly to the Delaware Supreme Court The arbitrator decides issues of arbitrability (which is designed to avoid the multitude of disputes, often noted on these pages, in which a court is asked to determine if an issue...
