In a new case that reminds federal judges everywhere to sing “I’ve got the power!” like C&C Music Factory, the Fifth Circuit reiterates that federal courts can stay related state court actions if necessary to “protect or effectuate” an order compelling arbitration. American Family Life Assurance Co. of Columbus v. Biles, __ F.3d __,
compel
Nursing Home Cannot Compel Arbitration Under Agreement Signed By Deceased Resident's Son
By Liz Kramer on
Posted in Validity of Arbitration Agreement
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…
Non-Signatories Lose In Two Federal Circuits When Trying To Enforce Arbitration
By Liz Kramer on
Posted in Validity of Arbitration Agreement
Two federal circuit courts recently reversed district court decisions allowing non-signatories to compel arbitration. The analysis emphasizes that for a defendant to prove equitable estoppel compels arbitration, the plaintiff’s legal claims must be closely related to the contract containing the arbitration clause.
Retail grocers asserted antitrust claims against wholesalers in In re Wholesale Grocery Products …
Prius Owners Put the Brakes On Arbitration With Non-Signatory Toyota
By Liz Kramer on
The Ninth Circuit ruled this week that a class of car owners could pursue their court claims against the manufacturer, Toyota, for product defects and false advertising, despite the existence of an arbitration agreement in each of the owners’ purchase agreements with the car dealerships. The court held that Toyota had not proven either of…
Arbitration Non-Signatories Lose in Fifth and Eighth Circuits
By Liz Kramer on
Two circuit court decisions in the last week have denied arbitration motions based on the lack of an arbitration agreement between the parties. These decisions show that while the federal presumption in favor of arbitration is generally a strong current, it is not strong enough to pull non-signatories into arbitration (or even to stay their…
An ArbitrationNation Roadmap: Document subpoenas to third parties
By Liz Kramer on
This post is dedicated to a perennial favorite topic: subpoenas for documents in arbitration. Why this topic and not something hot off the presses? Because SCOTUS has not yet accepted or denied the cert petition in Sutter, and no cases have come out recently that meet my high standards for discussion on this blog…
A Well-Drafted Arbitration Agreement Can Apply To Disputes Arising Before Parties' Relationship And To Disputes With Successors
By Liz Kramer on
Posted in Scope of Arbitration Agreement
Three federal circuit courts have recently looked at the shelf-life of an arbitration agreement. Can it apply even before the contract is effective? What about after a successor takes over the relationship? What if one party unilaterally changes its terms? The answer is that a properly worded arbitration agreement can apply in all those instances,…
Who Decides Whether Statute of Limitations in Arbitration Clause Is Too Short?
By Liz Kramer on
Posted in Validity of Arbitration Agreement
Arbitration agreements may shorten the statute of limitations that would otherwise be available for claims — but only to a point. A recent opinion from the First Circuit shows that how a plaintiff frames its argument that the contractual limitations period is unreasonably short can make a difference not only on whether the argument is…
Dear Parties: "Piecemeal" Schmeecemeal. Just Arbitrate. Love, SCOTUS
By Liz Kramer on
Posted in Litigation vs. Arbitration, Uncategorized
Despite the Supreme Court’s best efforts, some myths of arbitration law just will not die. In yesterday’s per curiam decision of the Supreme Court, the Justices tried to put a stake through the heart of a common myth: that a party may successfully avoid a motion to compel arbitration by arguing that not all claims…