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April 29: Arbitration Fairness Day
By Victoria VanBuren - April 23, 2009
[Ed. note: see follow up post here and new commentary on the Act here] As H.R. 1020 (“Arbitration Fairness Act of 2009″) blogged here moves through Congress, supporters of the bill prepare to hold a press conference in Washington D.C. on April 29, 2009 to lobby to end prospective arbitration in contracts between businesses and consumers, employees, homeowners, and franchise holders. Find the status of the bill here. Hat tip to Philip
Texas Supreme Court Orders Arbitration in Oil and Gas Dispute
By Victoria VanBuren - April 21, 2009
Last week, the Supreme Court of Texas decided In re Gulf Exploration, LLC, No. 07-0055 (Tex. Apr. 17, 2009). The issue was whether mandamus review of orders compelling arbitration should be entirely precluded. Thanks to Don Philbin for bringing this case to our attention. First, the court noted the narrow exception articulated by the Fifth Circuit in Apache Bohai v. Texaco China, that mandamus might be available if an applicant can show “cl
You Can’t Have It Both Ways: Fifth Circuit Finds Arbitration Waiver
By Victoria VanBuren - April 20, 2009
Last week, the Fifth Circuit decided Geraldine Nicholas v. KBR, Inc., No. 08-20140, (5th Cir. Mar. 15, 2009). The court affirmed the district court’s ruling denying Nicholas’ motion to compel arbitration of her contract dispute with KBR. Nicholas waived her right to arbitrate (pursuant to an arbitration clause) because she substantially invoked the judicial process to the prejudice of KBR. The court applied a two-prong test: Did Nicho
Court Affirms Arbitration Panel’s Order to Reinstate In-House Attorney in Employment Discrimination Case
By Victoria VanBuren - April 17, 2009
This week, a Court of Appeals for the State of Wisconsin decided Sands v. Menard, Inc., No. 2008AP1703, 2009 WI App 70. Sands is a former general counsel for Menard, Inc. Her employment was terminated following a dispute over compensation. Pursuant to a mandatory arbitration agreement, Sands submitted her claims to an arbitration panel. The panel found that Menard violated the Equal Pay Act by paying Sands less than a male employee and also found
HP Requests Exception to ICANN Rule
By Victoria VanBuren - April 16, 2009
Hewlett-Packard requested the ICANN an exception to the rule that new domain names must consist of at least three characters. The company wants to register .HP and claims that the rule puts HP in a disadvantaged position against its competitors, like IBM. See: Hewlett-Packard Wants .HP Domain Name at the Domain Wire. Technorati Tags: law, HP, domain name
Texas H.B. 2696: Hearing Scheduled for Today
By Victoria VanBuren - April 15, 2009
A public hearing for H.B. 2696 is scheduled to take place today. The bill would, among other things, prohibit one contracting party from requiring the other party to agree to arbitration as a condition of the contract. It also provides that an agreement is unconscionable if its enforceability would violate a right protected by either the U.S. or Texas Constitutions. In addition, an agreement to arbitrate must be displayed prominently in 12-point
NY Federal Court Refuses to Compel Arbitration in Case Involving Law Student Loans
By Victoria VanBuren - April 14, 2009
The U.S. District Court for the Southern District of New York decided recently Fensterstock v. Education Finance Partners, Inc., No. 08-CV-3622, 2009 U.S. Dist. LEXIS 30457 (S.D.N.Y. 2009). Plaintiff Fensterstock claims, on behalf of a class, that defendants Education Finance Partners (“EFP”) and Affiliated Computer Services (“ACS”) improperly applied an undisclosed fee to his law student loans. EFP and ACS filed a motion
Microsoft Loses Patent Infringement Dispute
By Victoria VanBuren - April 13, 2009
Last week, a Rhode Island federal court ordered Microsoft Corp. to pay $388 million to Uniloc USA Inc. for willful infringement of software patents. Uniloc USA Inc., et al. v. Microsoft Corp., No. 03-440, (D. R.I. 2009). The verdict is said to be one of the largest patent infringement jury awards in U.S. history. Related Posts: Oh Microsoft, Microsoft , Moderation Please: Rhode Island Seemingly Applies Frye in Microsoft Patent Infringement Trial,
Second Circuit Rules on Expenses of Arbitration
By Victoria VanBuren - April 9, 2009
Today, the Second Circuit decided ReliaStar Life Ins. Co, of N.Y. v. EMC Nat’l Life Co., No. 07-0828 (2nd Cir. Apr. 9, 2009). The court held that inclusion in an arbitration agreement of a broad statement that each party will bear the expenses of its own arbitrator and attorney’s fees does not deprive the arbitration panel of authority to award those expenses as a sanction against a party whom the panel determines failed to arbitrate
U.S. Bill Would Limit Consumer Arbitration
By Victoria VanBuren - April 8, 2009
As the U.S. Supreme Court and consumer studies on arbitration praise the benefits of arbitration, the 111st Congress is advancing a bill that would ban arbitration in consumer mortgage contracts. H.R. 1728 proposed by Rep. Miller (D- NC), titled the “Mortgage Reform and Anti-Predatory Lending Act of 2009,” would Amend the Truth in Lending Act of 1968. The bill provides, among other things, that “[n]o residential mortgage loan an
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