Blogs

Posts Categorized: Arbitation, Mediation and Other ADR

Posted: July 20, 2017

Class Action Waiver Violated National Labor Relations Act

On July 18, 2017, the First Department issued a decision in Gold v. New York Life Insurance Co., 2017 NY Slip Op. 05695, holding that class action waivers in insurance agent employment agreements violated the National Labor Relations Act. In Gold, the plaintiff insurance agent’s employment contract contained an arbitration provision requiring arbitration of any… Read more »

Posted: July 18, 2017

Corporate Officers Can Enforce Arbitration Provision in Corporation’s Contract

On July 12, 2017, the Second Department issued a decision in Degraw Construction Group, Inc. v. McGowan Builders, Inc., 2017 NY Slip Op. 05580, holding that corporate officers could enforce an arbitration provision in one of the corporation’s contract, explaining: A written agreement to submit any controversy to arbitration is enforceable without regard to the… Read more »

Posted: July 11, 2017

Partnership Agreement’s Arbitration Provision Governs Later Agreement to Sell Partnership Assets

On June 27, 2017, the First Department issued a decision in Matter of Capital Enterprises Co. v. Dworman, 2017 NY Slip Op. 05192, holding that a partnership agreement’s arbitration provision governed a later agreement to sell partnership assets, explaining: Since the alleged oral agreement to sell or transfer partnership assets attempts to modify several substantive… Read more »

Posted: July 7, 2017

Fraud Claims Subject to Broad Arbitration Clause

On June 27, 2017, the First Department issued a decision in New York Marine and General Insurance Co. v. Jorgensen & Co., 2017 NY Slip Op. 05186, holding that fraud claims were subject to a broad arbitration clause, explaining: The court correctly determined that the claims asserted against defendant Jorgensen, which plaintiff describes as essentially… Read more »

Posted: June 30, 2017

Derivative Lawsuits Stayed In Favor of Related Suits in Federal Court

On June 7, 2017, Justice Singh of the New York County Commercial Division issued a decision in Reaves v. Kessler, 2017 NY Slip Op 31245(U), staying four derivative lawsuits in favor of related litigation in federal court. At issue in Reaves were four derivative actions filed against directors of Resource Capital Corp. (“Resource Capital”), a… Read more »

Posted: May 28, 2017

Under AAA Rules, Question of Arbitrability is for Arbitrator in First Instance

On May 23, 2017, Justice Ostrager of the New York County Commercial Division issued a decision in Port Authority of N.Y. & NJ v. 2 World Trade Center LLC, 2017 NY Slip Op. 31121(U), refusing to stay an arbitration because the question of arbitrability was for the arbitrator in the first instance, explaining: It is… Read more »

Posted: May 2, 2017

Arbitration Provisions in Agreements Enforced Despite Claim That Agreements Were Invalid

On April 14, 2017, Justice Singh of the New York County Commercial Division issued a decision in Southport Lane Management, LLC v. Adler, 2017 NY Slip Op. 30715(U), enforcing arbitration clauses notwithstanding the allegations that the agreements containing the clauses were invalid, explaining: Even if the employment agreements or separation agreements are not valid, the… Read more »

Posted: March 16, 2017

Attorney Release in Agreement Insufficient to Bind Attorney to Agreement’s Arbitration Clause

On March 2, 2017, the First Department issued a decision in Matter of Kramer Levin Naftalis & Frankel LLP v. Cornell, 2017 NY Slip Op. 01643, holding that an attorney release in a separation agreement was insufficient to bind that attorney to the agreement’s arbitration clause, explaining: Respondents failed to demonstrate that the parties agreed… Read more »

Posted: January 30, 2017

Error of Law by Arbitrator Insufficient Basis to Vacate Award

On January 24, 2017, the First Department issued a decision in Matter of Yarmak v. Penson Financial Services Inc., 2017 NY Slip Op. 00433, holding that even if an arbitrator had made errors of law, that was not sufficient grounds to vacate an arbitral award, explaining: Even if the arbitrators’ dismissal of petitioner’s claims prior… Read more »

Posted: January 17, 2017

Court Confirms Arbitration Award Despite Party’s Misconduct

On January 9, 2017, Justice Kornreich of the New York County Commercial Division issued a decision in 1552 Broadway Retail Owner LLC v. McDonald’s Corporation, 2017 NY Slip Op. 50011(U), confirming an arbitral award despite evidence of misconduct by a party, explaining: It is a bedrock principle of arbitration law that the scope of judicial… Read more »