Statutes of limitations provide peace of mind for many attorneys and clients, knowing previous conduct cannot lead to liability after a prescribed time period. But, do statutes of limitations apply to arbitration proceedings? The answer is: not necessarily. Because of that, advocates and parties need to know when statutes of limitation may apply as well
statute of limitation
Three State Courts Hold Timeliness Of Claim Is Issue For Arbitrator
By Liz Kramer on
Posted in Litigation vs. Arbitration
In March, the highest courts of Montana, Texas, and Wisconsin all held that, when parties have a valid arbitration agreement, the issue of whether an arbitration demand was timely is presumptively for the arbitrator to decide. That principle of law has been established under the FAA at least since the Howsam decision in 2002 (and…
How Low Can You Go? Shortening the Statute of Limitations in Arbitration Agreements
By Liz Kramer on
I see more and more arbitration agreements that contain their own limitations period (the timeline for bringing a dispute in arbitration). Are all of those necessarily enforceable? No.
In Order of United Commercial Travelers of America v. Wolfe, 331 U.S. 586 (1947), the Supreme Court held that contracts may shorten the statute of limitations…
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…
Non-Binding Arbitration May Be A Condition Precedent, But It Does Not Toll Your Statute of Limitation
By Liz Kramer on
Posted in Arbitration Rules/Procedures
Maryland’s highest court recently affirmed the dismissal of an employer’s non-compete claims as time-barred, even though the employer argued that the parties’ arbitration excused the untimely filing. Kumar v. Dhanda, __ A.3d ___, 2012 WL 1521567 (Md. May 2, 2012).
The employee, a urologist, had signed a contract calling for all disputes to be “resolved…