Despite Referring to Arbitration, Agreement Did Not Require Parties to Arbitrate Except in Limited Circumstances

Despite Referring to Arbitration, Agreement Did Not Require Parties to Arbitrate Except in Limited Circumstances

On March 28, 2023, Justice Cohen of the New York County Commercial Division issued a decision in FFS Data Corp. v. The Olb Group, Inc., 2023 NY Slip Op. 30968(U), holding that even though an agreement referred to arbitration, it did not require the parties to arbitrate except in limited circumstances . . . Continue reading Despite Referring to Arbitration, Agreement Did Not Require Parties to Arbitrate Except in Limited Circumstances

Fraudulent Inducement Claim Insufficient to Avoid Arbitration

Fraudulent Inducement Claim Insufficient to Avoid Arbitration

On January 25, 2023, Justice Ruchelsman of the Kings County Commercial Division issued a decision in Gowanus Park LLC v. KSK Constr. Group LLC, 2023 NY Slip Op. 30253(U), holding that a fraudulent inducement claim that was unrelated to a contract’s arbitration provision was insufficient to avoid the requirement to arbitrate pursuance to that provision . . . Continue reading Fraudulent Inducement Claim Insufficient to Avoid Arbitration

Whether Law Firm Partner was an Employee That Could Avoid Arbitration Outside California Question for Arbitrator to Decide

Whether Law Firm Partner was an Employee That Could Avoid Arbitration Outside California Question for Arbitrator to Decide

On December 29, 2022, the First Department issued a decision in Matter of Dentons US LLP v. Zhang, 2022 NY Slip Op. 07498, holding that whether a law firm partner was an employee for the purposes of Section 925 of the California Labor Code, which limits out-of-state arbitrations, was a question for the arbitrator to decide . . . Continue reading Whether Law Firm Partner was an Employee That Could Avoid Arbitration Outside California Question for Arbitrator to Decide

Arbitral Award That Might Have Allowed Businesses to Retain Some a Law Firm’s Legal Fees Not Subject to Being Vacated as a Matter of Public Policy

Arbitral Award That Might Have Allowed Businesses to Retain Some a Law Firm’s Legal Fees Not Subject to Being Vacated as a Matter of Public Policy

On December 8, 2022, the First Department issued a decision in Matter of Pearl Capital Bus. Funding, LLC v. Berkovitch, 2022 NY Slip Op. 07003, holding that even though an arbitral award might have allowed businesses to retain part of a law firm’s fees, the award should not be vacated because it violated public policy . . . Continue reading Arbitral Award That Might Have Allowed Businesses to Retain Some a Law Firm’s Legal Fees Not Subject to Being Vacated as a Matter of Public Policy

Plaintiffs Who Made Claims Based on Rights Under an Agreement Are Bound by the Agreement’s Arbitration Provisions

Plaintiffs Who Made Claims Based on Rights Under an Agreement Are Bound by the Agreement’s Arbitration Provisions

On November 14, 2022, Justice Knipel of the Kings County Commercial Division issued a decision in Alma Mgt. PTE Ltd v. Shepard Towers LLC, 2022 NY Slip Op. 34036(U), holding that plaintiffs who were relying upon an agreement were bound by the agreement’s arbitration provision . . . Continue reading Plaintiffs Who Made Claims Based on Rights Under an Agreement Are Bound by the Agreement’s Arbitration Provisions