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Court Decisions about Arbitration
Court of Appeals of Texas Finds No Evident Partiality or Gross Mistake and Affirms Confirmation of an Arbitration Award
By Jeremy Clare - November 28, 2012
The Court of Appeals for the First District of Texas at Houston did not find evident partiality or gross mistake and affirmed the district court’s confirmation of an arbitration award. Background In FCA Construction Company, LLC v. J & G Plumbing Services, LLC, No. 01-10-01034-CV (Tex. App.—Houston [1st Dist.] Mar. 8, 2012) a dispute arose between FCA Construction Company (“FCA”) and its plumbing subcontractor, J & G Plumbing Services (“J
U.S. Supreme Court Vacates Oklahoma Supreme Court: FAA Statue Prevails over Oklahoma State
By Jeremy Clare - November 26, 2012
The U.S. Supreme Court vacated an Oklahoma Supreme Court decision because the decision ignored a basic tenet of the Federal Arbitration Act (“FAA”) and did not allow the arbitrator to rule on the validity of the contracts. Background In Nitro-Lift Technologies, L.L.C. v. Eddie Lee Howard, et al, 568 U.S. ___ (Nov. 26, 2012), a dispute arose between Nitro-Lift Technologies (“Nitro-Lift”) and two of its former employees, Eddie Lee Howard and
Fifth Circuit Reverses the Vacatur of a FINRA Award Because the Award was not Procured by Fraud and the Arbitrators did not Exceed Their Powers
By Victoria VanBuren - November 15, 2012
by Jeremy Clare The United States Court of Appeals for the Fifth Circuit reversed the vacatur of a FINRA Award because it disagreed with the district court’s finding that the award was procured by fraud, or in the alternative, that the arbitration panel exceeded its powers. Background In Morgan Keegan & Company, Inc., v. Garrett, et al, No. 11-20736 (5th Cir. Oct. 23, 2012), a group of eighteen investors (“Garrett”) brought a claim of statuto
U.S. Supreme Court Grants Cert to Class Arbitration Case
By Victoria VanBuren - November 14, 2012
Last week, the U.S. Supreme Court agreed to hear American Express Co. v. Italian Colors Restaurant, Docket No. 12-133. The issue is whether the Federal Arbitration Act permits courts, invoking the “federal substantive law of arbitrability,” to invalidate arbitration agreements on the ground that they do not permit class arbitration of a federal-law claim. Read our previous post about the case below here. Bloomberg’s coverage of the case is
U.S Supreme Court Considers Two Arbitration Petitions
By Victoria VanBuren - November 8, 2012
The U.S. Supreme Court is currently considering two significant arbitration-related petitions: BG Group PLC v. Republic of Argentina, Docket No. 12-138. The issue is whether, in disputes involving a multi-staged dispute resolution process, a court or the arbitrator determines whether a precondition to arbitration has been satis?ed. Opinion below: Republic of Argentina v. BG Group PLC, 665 F.3d 1363 (D.C. Cir. 2012) Nitro-Lift Technologies,
Texas Court of Appeals Rules on Validity and Enforceability of Agreement under TRCP 11
By Victoria VanBuren - October 8, 2012
by Jeremy Clare The Court of Appeals for the 1st District of Texas at Houston affirmed two summary judgment orders regarding the enforceability of a rule 11 agreement and the right to prepay under the agreement. Background In General Metal Fabricating Corporation GMF v. Stergiou, No. 01-11-00460-CV (Tex. App.—Houston [1st Dist.] May 24, 2012), Arnold Curry, General Metal Fabricating Corporation, and GMF Leasing, Inc. (“GMF”) and John Stergiou and
Middle District of Pennsylvania Holds that D.R. Horton Does Not Conflict with Concepcion
By Victoria VanBuren - October 2, 2012
by Jeremy Clare The United States District Court for the Middle District of Pennsylvania denied a motion for reconsideration of the court’s order compelling arbitration because plaintiffs failed to establish a change in controlling law. Background In Brown v. Trueblue, Inc., No. 10-CV-0514 (M.D. PA April 16, 2012), Stephen Brown and Matthew Jury (“plaintiffs”), two employees of Trueblue, a temporary staffing agency, filed a complaint with the dis
Southern District of New York Holds that Arbitrators Did Not Manifestly Disregard the Law
By Victoria VanBuren - September 24, 2012
by Jeremy Clare The United States District Court for the Southern District of New York confirmed an arbitration award and granted attorney’s fees in favor the defendant because the plaintiffs’ claims were meritless and lacked any proper purpose. Background In DigiTelCom, Ltd., et al., v. Tele2 Sverige AB, No. 12-CV-3253 (S.D. N.Y. July 25, 2012), two Russian telecommunications companies, DigiTelCom, Ltd. (“DTC”) and Tele2 Sverige AB (“Tele2”), we
Texas Court of Appeals Reversed Vacatur of $125 Million Arbitration Award
By Victoria VanBuren - September 17, 2012
by Jeremy Clare The Court of Appeals for the Fifth District of Texas at Dallas reversed the district court’s vacatur of a $125 million arbitration award and confirmed the award because the appellee failed to raise its complaint during the arbitration process. Background In Ponderosa Pine Energy, LLC, v. Tenaska Energy, Inc., et al, No. 05-10-00516-CV (Tex.App.—Dallas August 20, 2012), an arbitration panel awarded Ponderosa Pine Energy, LLC (“Pond
Fifth Circuit Decides on Arbitrability of Claims
By Victoria VanBuren - September 10, 2012
by Jeremy Clare The United States Court of Appeals for the Fifth Circuit affirmed the district court’s ruling confirming an arbitration award. In Petrofac, Inc., v. DynMcDermott Petroleum Operations Company, No. 1-20141 (5th Cir. July 17, 2012), DynMcDermott Petroleum Operations Company (“DM”), which operates the Strategic Petroleum Reserve for the Department of Energy, contracted with Petrofac to design and install a transportable degas plant to
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