Commercial Division Blog: Current Developments in the Commercial Divisions of the New York State Courts

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February 23, 2024 Court Confirms Arbitral Award After the Party that Initially Compelled the Arbitration Lost and was Forced to Pay Costs and Fees
On January 14, 2024, Justice Margaret A. Chan denied a motion to vacate an arbitral award brought by a party that had previously moved to compel arbitration in the first place. The decision in Skyline Steel, LLC v. PilePro LLC, et al., Index No. 650531/2015, noted that petitioner Skyline Steel had first initiated the matter by moving to stay arbitration. Respondent PilePro opposed that motion and successfully cross-moved to compel arbitration. The parties then proceeded to arbitration under JAMS Expedited Procedures. However, after PilePro lost in arbitration and was forced to pay costs and fees, it returned to court with a motion under CPLR 7511 to vacate the arbitral awards, arguing among other things that the arbitration panel exceeded its authority. The Court rejected that motion, finding that the arbitration panel had carefully considered the evidence, made logical rulings, and acted within its authority when it awarded Skyline more than $200,000 in fees and costs. The Court explained, in part: Read More