Reinsurance Focus

Comity

Corporacion Mexicana de Mantenimieneto Integral v. Pemex-Exporacion y Produccion, Case No. 1:10-cv-00206 (USDC S.D.N.Y. Aug. 27, 2013) (confirming $400 million Mexican arbitration award; refusing to enforce Mexican judgment nullifying award; Mexican judgment “violated basic notions of justice in that it applied a law that was not in existence at the time the parties contract was formed and left [the party in arbitration] without an apparent ability to litigate its claims”)

Manifest Disregard/Exceeding Authority

Dewan v. Walia, Case No. 12-2175 (4th Cir. Oct. 28, 2013) (vacating judgment that confirmed award in favor of former employee and remanding to district court with instructions to vacate the award; award was “manifest disregard of the law; “neither linguistic gymnastics, nor a selective reading of Maryland contract law, could support [the arbitrator’s] conclusion that the Release was enforceable but that [employee’s] claims were arbitrable anyway”)

Wells Fargo Advisors, LLC v. Watts, Case No. 12-1464 (4th Cir. Oct. 1, 2013) (affirming order confirming award for unpaid balance on employee loan; reversing ruling vacating arbitration panel’s grant of attorney’s fees; no fraud or manifest disregard of the law; “a court must defer to arbitrators’ factual findings on attorneys’ fees even if the arbitrators do not explain a basis for the precise amount”)

Walter v. Mark Travel Corp., Case No. 6:09-cv-01019 (USDC D. Kan. Sept. 18, 2013) (confirming $1.1 million award; denying motion to vacate award; court properly compelled arbitration against assignee of signatory; request for court to revisit order compelling arbitration was untimely; arbitrators did not exceed powers, nor was there a manifest disregard of the law)

Neshgold LP v. New York Hotel & Motel Trades Council, Case No. 1:13-cv-02399 (USDC S.D.N.Y. Sept. 19, 2013) (denying motion to vacate; granting motion to confirm award; award finding liability against employer in labor dispute did not exceed arbitrator’s authority, nor violate public policy; award determining relief due to labor union did not reflect manifest disregard of the law)

Phoenix Bulk Carriers, Ltd. v. American Metals Trading, LLP, Case No. 1:10-cv-02963 (USDC S.D.N.Y. Oct. 31, 2013) (granting motion to confirm award in favor of carrier against iron supplier; denying motion to vacate award; panel did not act in manifest disregard of the law nor exceed its authority because award was based on panel’s interpretation of shipping contract and findings of fact)

Evident Partiality/Fraud

DuBois v. Macy’s Retail Holdings, Inc., Case No. 12-3980-cv (2d Cir. Oct. 4, 2013) (affirming judgment denying pro se motion to vacate award rejecting claim for employee discrimination; confirming the award and granting dismissal of complaint; appellant failed to present any evidence to support the claim that the award was obtained through corruption, fraud, or undue means, that arbitrator exhibited evident partiality, or that arbitrator exceeded his powers)

Stone v. Bear, Stearns & Co., Case No. 12-2827 (3d Cir. Oct. 29, 2013) (affirming order denying petition to vacate FINRA award that rejected claim for millions of dollars in losses under investment; granting cross-petition to confirm the award; no evidence of exceeding powers or evident partiality against appellant based on arbitrator’s undisclosed family relation to well-connected finance professor)

Venue

First State Insurance Co. v. National Casualty Co., Case No. 1:13-cv-00704 (USDC S.D.N.Y. Sept. 27, 2013) (transferring venue of petition to confirm the arbitration panel’s final order regarding interpretation of reinsurance contract; forum selection clause in arbitration agreement unambiguously selected venue; clause was “unambiguous and specifically excludes alternative venue for the petition to confirm the final order”)

This post written by Michael Wolgin.

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