Some segments of the international arbitration community (particularly those spending their summer holidays in the Blogosphere), are abuzz with speculation that the US Second Circuit Court of Appeals may reconsider its jurisprudence concerning the arbitrability of arbitrability in a case called Thai-Lao Lignite (Thailand) Co. Ltd. v. Gov’t of the Lao People’s Democratic Republic, 2012 WL 2866275 (2d Cir. July 13, 2012) (summary order affirming district court order granting confirmation petition and denying motion to vacate award). A petition for rehearing en banc has been filed by the appellant Government of Laos, challenging the Court’s position that the parties’ agreement…
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Recent Posts
Revisiting Second Circuit Arbitrability Jurisprudence: A Midsummer Night’s Dream?
Pockets of Resistance Remain on Enforcing Agreements to “Arbitrate Arbitrability”
In various posts on this site over the three-plus years of its existence, Arbitration Commentaries has reported on court decisions that recognized the power of an arbitrator to decide “arbitrability” questions when the arbitration agreement calls for arbitration under rules that confer power on the arbitral tribunal to decide upon objections to its jurisdiction. Last week the US Fifth Circuit Court of Appeals joined forces with at least the First, Second, Eighth, Eleventh and Federal Circuits, in holding that when parties agree to arbitrate under such rules, there is “clear and unmistakable evidence” that they have agreed to arbitrate arbitrability….
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US Court Upholds Arbitrability of Cross-Border Insurance Dispute, Rejects “Reverse Pre-emption” of New York Convention
If you practice arbitration law internationally from a base of operation outside the United States, you might consider that the arbitrability of cross-border disputes involving insurance is rather non-controversial. After all, arbitration lawyers wish to have large and growing practices, and insurance disputes help enormously. Simple. You would think. But here in the United States, with our great legal tradition of making simple matters difficult, this subject is fertile ground for controversy, large legal fees, and lengthy opinions from appellate courts. To understand this quagmire, readers might study ESAB Group, Inc. v. Zurich Insurance PLC, 2012 WL 2697020 (4th Cir….
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Eleventh Circuit Ruling that Section 1782 Applies to Private Arbitral Tribunals Adds to Controversy
Should we rejoice or commiserate over the decision during the past week, by a panel of the US Eleventh Circuit Court of Appeals, holding that a party to a domestic arbitration in Ecuador could obtain US discovery for the Ecuador case pursuant to Section 1782 of the US Judicial Code? (Consorcio Ecuatoriano de Telecomunicaciones S.A. v. JAS Forwarding (USA), Inc., 2012 WL 2369166 (11th Cir. Jun. 25, 2012)). Surely litigation lawyers in Florida will be pleased, as the news will spread rapidly in Central and South America, and whereas US sources of evidence for Latin arbitrations are somewhat more likely…
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US Trial Judges Shine in Recent Convention Cases
It is occasionally the pleasant duty of Arbitration Commentaries to inform its readers that American trial judges do understand the New York Convention and Chapter 2 of the Federal Arbitration Act (“Convention Act”), and that they often apply the Convention and the Convention Act sensibly to advance international arbitration and the predictability and stability of American law that supports it. This post is such an occasion. Within the past two weeks: (1) A federal district judge in New York properly rejected the attempt of a party to an ongoing international maritime arbitration to get judicial relief from the arbitral tribunal’s…
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US Courts’ Subject Matter Jurisdiction for Interim Measure in Convention Cases Still in Doubt
Last week a respected federal district judge in New York denied a motion for a preliminary injunction in aid of arbitration. The motion had been made by the Claimant in a pending ICC arbitration seated in New York, in which the tribunal is now fully-constituted although it may not have been at the time the motion was filed. More interesting for the arbitration bar than the outcome was an issue mentioned but not resolved in the Court’s decision: Does Chapter Two of the FAA confer subject matter jurisdiction on the Court when the only relief sought is a provisional remedy…
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