News & Analysis as of

Federal Arbitration Act Contract Disputes

The Federal Arbitration Act is a United States federal statute enacted in 1925 that governs arbitration in contracts implicating interstate commerce. The Act applies in both federal and state courts. 
Orrick, Herrington & Sutcliffe LLP

Eleventh Circuit reverses “clickwrap” case in favor of credit agency

On July 3, the U.S. Court of Appeals for the Eleventh Circuit reversed and remanded a district court’s denial of a motion to compel arbitration, ordering that a dispute between an individual and a credit reporting company...more

Ervin Cohen & Jessup LLP

Contemporaneous Onboarding Documents May Invalidate An Employer’s “Squeaky Clean” Arbitration Agreement

Cross Country Healthcare, Inc., a healthcare staffing company, believed that it had a “squeaky clean” Arbitration Agreement with its employees. ...more

McGlinchey Stafford

5th Circuit Reminder: Forum Selection Clause Cannot Strip a Federal Court of Jurisdiction

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The 5th Circuit recently reversed a district court’s decision to remand a case before ruling on a pending motion to compel arbitration. This is because the remand motion did not challenge the district court’s jurisdiction;...more

Carlton Fields

Court Denies Vacatur of Zero-Damage Arbitration Award, Finding No Manifest Disregard of the Law

Carlton Fields on

The case involved a dispute between a medical device manufacturer and a purchaser. The petitioner, Northgate Technologies Inc., alleged that United States Endoscopy Group Inc. breached a requirements contract by purchasing...more

Baker Donelson

U.S. Fifth Circuit Firmly Shuts Courthouse Doors on Petitions to Vacate Arbitration Awards for "Manifest Disregard of the Law"

Baker Donelson on

The U.S. Court of Appeals for the Fifth Circuit in United States Trinity Energy Services., L.L.C. v. Southeast Directional Drilling, L.L.C., 135 F.4th 303 (5th Cir. 2025) ruled that "manifest disregard of the law" is not a...more

Katten Muchin Rosenman LLP

Fifth Circuit Affirms Party's Strategic Maneuver to Compel Arbitration From Federal Court Even When Forum Clause Required Remand

In a notable clarification of removal and arbitration procedure, the Fifth Circuit in Odom Industries, Inc. v. Sipcam Agro Solutions, LLC, No. 24-60410 (5th Cir. June 4, 2025), held that a defendant may remove a case to...more

Carlton Fields

Second Circuit Holds New York Convention Is “Self-Executing,” Reverses Orders Denying Motion to Compel Arbitration

Carlton Fields on

In an opinion issued on May 8, 2025, the Second Circuit Court of Appeals addressed two cases: Certain Underwriters at Lloyd’s London v. 3131 Veterans Blvd LLC and Certain Underwriters at Lloyd’s London v. MPIRE Properties...more

JAMS

From 1925 to Today: How the FAA Transformed Dispute Resolution

JAMS on

In 1925, Congress enacted the Federal Arbitration Act (FAA) requiring courts to enforce agreements to arbitrate as valid contract provisions. Business communities and trade associations campaigned vigorously in support of its...more

Husch Blackwell LLP

Procedurally Flawed: District Court Quashes Arbitration Subpoena in Reinsurance Dispute

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In Liberty Corporate Capital Limited v. Gallagher Re, Inc., Case No. 8:25-MC-10-MSS-TGW (M.D. Fla. April 24, 2025), Liberty sought to enforce a subpoena issued by the arbitration panel in a reinsurance dispute to Gallagher,...more

Husch Blackwell LLP

Fifth Circuit: "Manifest Disregard of the Law" Cannot Be Grafted to FAA as a Basis for Vacatur of Arbitration Award

Husch Blackwell LLP on

In affirming a district court’s denial of a petition to vacate an arbitration award, the U.S. Court of Appeals for the Fifth Circuit recently rejected the argument “that manifest disregard of the law remains viable as an...more

Bradley Arant Boult Cummings LLP

Manifest Disregard Discarded: Fifth Circuit Limits Grounds to Vacate Arbitration Awards

“Manifest disregard of the law” is no longer a valid basis to challenge arbitration awards, at least not in the federal courts of Texas, Mississippi and Louisiana. Rather, according to the Fifth Circuit’s decision in U.S....more

Carlton Fields

Second Circuit Vacates Decision Denying Arbitration

Carlton Fields on

The Second Circuit Court of Appeals recently vacated a decision holding that a union could not compel arbitration of a grievance related to an expired collective bargaining agreement....more

McGlinchey Stafford

Court Finds Arbitral Forum’s Decision to Consolidate Cases is Not a Gateway Arbitrability Question

McGlinchey Stafford on

The Ninth Circuit Court of Appeals affirmed a district court’s decision to deny the plaintiff’s motion to compel arbitration, finding that the plaintiff was not an “aggrieved” party within the meaning of the Federal...more

Frost Brown Todd

Clicking Has Consequences: Fourth Circuit Rules Streaming Service’s Arbitration Clause in Website Registration Is Enforceable

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Proponents of arbitration received a victory in federal court this past Tuesday when the U.S. Court of Appeals for the Fourth Circuit issued its published decision in Dhruva v. CuriosityStream, Inc. ...more

Carlton Fields

New York Court of Appeals Upholds Web-Based “Clickwrap” Agreement to Affirm Order Compelling Arbitration, Including Threshold...

Carlton Fields on

In January 2021, Uber emailed millions of its users informing them that they would be prompted to agree to updated terms of use (available by hyperlinks) in order to continue using the ride-sharing service. The plaintiff, a...more

Ballard Spahr LLP

Consumer Finance Monitor Podcast Episode: “Accidental Arbitration” -- A New Theory that Would Rein in Consumer Arbitration Clauses...

Ballard Spahr LLP on

Our special guest is David Horton, Professor of Law at the University of California, Davis, who has written a creative and thought-provoking article analyzing how courts should interpret certain key provisions that are...more

Snell & Wilmer

Texas Legislature Convenes New Regular Session

Snell & Wilmer on

The Texas Legislature follows a unique legislative calendar and convenes in regular session for 140 days only once every other year. This unusual schedule creates a flurry of new state laws every other year in Texas. These...more

Bradley Arant Boult Cummings LLP

5th Circuit Rules Intent to Arbitrate Trumps Defunct Forum

The Fifth Circuit ruled that Baker Hughes Saudi Arabia and Dynamic Industries, Inc., could be compelled to arbitration in a forum that no longer exists. In doing so, the court ruled that the parties’ “dominant purpose was to...more

Lathrop GPM

New York Federal Court Concludes Interim Arbitration Order Is Final and Confirms the Order Requiring Franchisor’s Payments to...

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A federal court in New York recently ruled that an interim arbitration order was final and granted a developer’s petition to confirm the order which required the franchisor to make payments to the developer while the...more

Morrison & Foerster LLP - Class Dismissed

Beware Of Conflicting Terms: When Customers Entered Into Multiple Contracts, Scotus Says Courts Must Decide Which One Governs...

On May 23, 2024, the United States Supreme Court decided Coinbase, Inc., v. Suski, No. 23-3, serving a reminder to companies with mandatory consumer-facing arbitration provisions that contractual consistency is a key to...more

Sheppard Mullin Richter & Hampton LLP

Supreme Court Rules That Judges – Not Arbitrators – Must Resolve Disputes Where Various Agreements May Govern a Particular Dispute...

In 23-3 Coinbase, Inc. v. Suski (05/23/2024) (supremecourt.gov) (May 23, 2024), the U.S. Supreme Court once again delved into the frequently litigated arena of arbitration agreements. Specifically, the Court considered...more

McGlinchey Stafford

Threshold Arbitrability Questions: SCOTUS Rules that Courts, Not Arbitrators, Must Decide Which Contract Governs

McGlinchey Stafford on

On May 23, 2024, the Supreme Court unanimously ruled that when parties have agreed to more than one contract – one that contains a clause sending threshold arbitrability questions to an arbitrator and one that sends those...more

Ballard Spahr LLP

Comment letters from consumer advocates bolster case against CFPB rulemaking on post-dispute arbitration clauses

Ballard Spahr LLP on

We previously reported and released a podcast episode on comments that we and Professor David Sherwyn of Cornell University submitted in opposition to the Petition for Rulemaking filed by a number of consumer advocacy groups...more

Lathrop GPM

Florida Federal Court Denies Motion to Vacate Arbitration Award Brought by Franchisee Who Claimed Not to Have Notice of the...

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A federal court in Florida rejected a franchisee’s motion to vacate an arbitration award entered against it despite its arguments it did not have notice of the arbitration hearing. Your CBD Stores Franchising, LLC v....more

Foley & Lardner LLP

U.S. Supreme Court Unanimously Rules that Waiver of Arbitration Right Does Not Require a Showing of Prejudice

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In a May 23, 2022 unanimous decision, the United States Supreme Court ruled a showing that the other side has been prejudiced by a delay is not required for a party that has proceeded with litigation to waive its contractual...more

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