Thursday, May 31, 2007

SCOTUS Grants Cert. In Federal Arbitration Act Case

BNA's Supreme Court Today is reporting that on Tuesday the U.S. Supreme Court granted review in Hall Street Associates LLC v. Mattel Inc., 06-989. Here is their summary of the case:

Ruling Below: (9th Cir., 8/1/06, unpublished)

Summary of Ruling Below: Although arbitrator's assessment of merits in this case contains possible errors of law, those errors are not sufficient basis for federal court to overrule arbitration award, and thus, because arbitrator's decision in this case is not "completely irrational," district court is instructed to enforce original arbitration award on remand.

Question(s) Presented: Did Ninth Circuit err when it held, in conflict with several other federal courts of appeals, that Federal Arbitration Act precludes federal court from enforcing parties' clearly expressed agreement providing for more expansive judicial review of arbitration award than narrow standard of review otherwise provided for in FAA?


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