When Must a Dispute Be Submitted to Arbitration? Who Makes the Call?, Part II

The question of who gets to decide if a dispute should be resolved through arbitration often comes up in court cases. In a famous case, the court decided that it should determine whether a contract required arbitration. However, in another case, the court ruled that an arbitration panel should decide if there was fraud in the contract. So, whether a court or an arbitration panel gets to make that decision can depend on the specific situation. In a case between AT&T and the Communication Workers of America, the Court said that whether or not parties have to go to arbitration is a question for a judge to decide. In another case, the Court said that if someone is challenging the entire contract, not just the part about arbitration, then the arbitrator gets to decide if the contract is valid. In Rent-A-Center West, Inc. v. Jackson, the Court said that if someone thinks an arbitration contract is unfair, the arbitrator, not the court, should decide. The Court also said that if the dispute is about the entire contract, not just the arbitration part, the arbitrator should still decide. Another case, John Wiley & Sons, Inc., said that once it’s decided the issue should be settled by arbitration, any smaller issues should also be decided by the arbitrator. And in Howsam v. Dean Witter Reynolds, Inc., the Court said that the timing of when a person asks for arbitration should be decided by the arbitrator, not the court. The court didn’t decide if a claim under Florida’s Nursing Home Resident’s Rights Act could be enforced when the person couldn’t get punitive damages or attorneys’ fees, even though the law allowed it. The court said it’s up to the arbitrator to decide. In another case, the Florida Supreme Court said an agreement to arbitrate personal injury claims of a minor was enforceable, even though it involved public policy. This case is different because it was about how the arbitration agreement was made, which is for the court to decide. If you’re going to sign a contract with an arbitration agreement, make sure you know what you want the arbitrator to decide. Do you want them to only deal with issues related to the contract, or also things like accidents or other problems that come up? Also, make sure both parties understand the agreement, especially if one party isn’t as experienced. And don’t let the agreement give one party all the power – it should be fair to both sides. Finally, include a clause saying that if part of the agreement is found to be invalid, the rest still counts. This article is about a lawyer who has been practicing labor and employment law for a long time and now works as a mediator and arbitrator. He is very experienced in this area of law.

 

Source: https://www.floridabar.org/the-florida-bar-journal/when-must-a-dispute-be-submitted-to-arbitration-who-makes-the-call-part-ii/


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