Minding Your Business

Proskauer’s perspective on developments and trends in commercial litigation.

Tag Archives: Arbitration

Amazon Drivers Avoid Arbitration Claiming Non-delivery of Updated TOS

The Ninth Circuit recently issued an opinion that could shape how companies draft and revise two oft-encountered types of contracts: terms of service agreements (“TOS”) and arbitration clauses. In Jackson v. Amazon.com, Inc., the Ninth Circuit affirmed the district court’s order denying Amazon.com, Inc.’s motion to compel arbitration in a case brought by a proposed … Continue Reading

Head-to-Head: Comparing Three Arbitration Regimes for US Based Asset Managers

The choice of arbitration institution can arise at any point in an investment cycle: from finalising initial agreements at fund or portfolio company level, or on an ad hoc basis when a dispute arises. To help demystify some differences – this article sets out the key features of three commonly used international arbitration regimes that … Continue Reading

Supreme Court Rules on the Requirements for a Waiver of the Right to Arbitrate

The United States Supreme Court recently resolved a circuit split regarding when a party has waived its contractual right to arbitrate by participating in litigation prior to seeking to arbitrate a dispute. In Morgan v. Sundance, Inc., the Court held that the party seeking to resist arbitration does not need to show that it has … Continue Reading

Discovery Unlimited: The Supreme Court Set to Rule on Whether Parties to a Foreign Arbitration Can Order U.S. Discovery

The United States Supreme Court is finally set to resolve a Circuit split regarding whether district courts can order discovery for private commercial arbitrations abroad pursuant to 28 U.S.C. § 1782.  The Court granted certiorari in ZF Automotive US, Inc., v. Luxshare, Ltd., No. 21-2736, after another case raising the same question was abruptly abandoned … Continue Reading

Ecuador Welcomes Arbitration (Back)

2021 marked a new chapter for arbitration in Ecuador: after re-joining the International Centre for Settlement of Investment Disputes Convention in June, Ecuadorian Executive Decree No. 165 in August introduced Regulations to add to and improve the existing legal framework for arbitration as it results from the Ecuadorian Arbitration and Mediation Law (“AML”).  The AML, … Continue Reading

Arbitration Clause Not Binding on the United States Patent Office

The Federal Circuit’s recent ruling in MaxPower Semiconductor Inc. et al v. Rohm Semiconductor USA, LLC highlights the interplay between the liberal federal policy favoring arbitration agreements and the Patent Trial and Appeal Board’s (“PTAB”) authority as an agency tribunal having a broad role to protect the public interest in ensuring the quality of patents. Read the … Continue Reading

Ninth Circuit Splits From the Second, Third and Fourth Circuits in “Brain Twister” Arbitration Case

Arbitration provisions are common features of commercial agreements.  Arbitration is often touted as a cost-effective alternative to litigation that provides contract parties the freedom to decide everything from what law the arbitrator should apply, to what issues the arbitrator should resolve.  The parties can even delegate to the arbitrator the issue of what should and … Continue Reading

Recent Decisions Spotlight Arbitration Agreements in Online Delivery Service Terms and Conditions

The global pandemic has brought about countless changes, including, for many households, increased reliance on online retail and delivery services, such as Amazon. When consumers sign up for these services or place their orders, they are likely to see a notice regarding terms and conditions, which may include an arbitration agreement pursuant to which the consumer … Continue Reading

Pivot to Arbitration: China Embraces Arbitration to Promote Investment

In the past several months, China has adopted new arbitration rules and unveiled a new arbitration center to help resolve the inevitable international disputes arising from the development of The Silk Road Economic Belt and 21st-Century Maritime Silk Road, commonly referred to as the One Belt One Road Initiative. Although China is a signatory to … Continue Reading

California Defendants Beware: Failing to Compel Arbitration Against Named Plaintiff Could Have Far-Reaching Consequences

California defendants in class actions should be wary of seeking a strategic advantage by litigating before seeking to compel arbitration. The Court of Appeal held recently in Sprunk v. Prisma LLC  that a defendant in class action litigation can waive its right to seek arbitration against absent, unnamed class members by deciding not to compel … Continue Reading

Hague Court Finds Arbitration Panel Has No Jurisdiction Against Russia Pursuant to Unratified Treaty

The District Court of the Hague overturned a record $50 billion in damages awards issued by the Permanent Court of Arbitration (“PCA”), to the former controlling shareholders of the Yukos Oil Company on the grounds that Russia had not submitted itself to the PCA’s jurisdiction. In 2014, the PCA awarded the former Yukos Oil Company … Continue Reading

First Department Finds Forum Selection Clause in Earlier Agreement Valid Despite Later Agreement Providing for Arbitration

In a 3-2 split decision, a New York appellate court determined that a forum selection clause providing for litigation in New York courts had not been explicitly terminated and thus trumped agreements to submit to arbitration in London provided in later contracts that cancelled the previous one. Thus, the appellate panel for the First Department … Continue Reading
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