Those looking for a sign of how the post-Scalia Supreme Court will view arbitration issues may have gotten that sign – “not very interested” – based on recent denials of certiorari by the Court. Dueling dispute resolution clauses On April 18th, SCOTUS denied certiorari in Chorley Enterprises Inc. v. Dickey’s Barbecue Restaurants, Inc., 807 F.3d 553 […]

By David C. Franceski, Jr. *Unless arbitrability is apparent from the face of the complaint, the issue cannot be decided on a F.R.C.P. 12(b)(6) motion and is subject to a summary judgment standard under Rule 56. **A pro se complaint, though held to less stringent pleading standards than a lawyer-drafted complaint, is still subject to […]

Cremo v. Oppenheimer & Co., Inc, FINRA ID #15-01548 (Los Angeles, CA, 3/31/16). Unopposed expungement proceedings, by their very nature, tend to shed little or no light on how arbitrators weigh the evidence, even when they produce explained Awards. This one, however, offers a unique perspective by reaching contrary verdicts on two similar customer complaints. […]

By George H. Friedman* [The author thanks the Securities Arbitration Commentator for letting him borrow liberally from its Securities Arbitration Alert] Arbitration law practitioners sometimes forget that the Federal Arbitration Act (“FAA”) does not by itself establish independent federal subject matter jurisdiction. In other words, a party seeking access to the federal courts must establish […]

By Sarah G. Anderson In Illinois, the test for whether a non-solicitation agreement is supported by sufficient consideration to enforce against an employee at will is a fact-specific inquiry, and does not require two years of employment if the employee voluntarily quit and received the full benefit of the original employment terms throughout the period […]

In early 2015, we covered  Sgouros v. TransUnion, Corp., No. 14 C 1850 (N.D. Ill. Feb. 5, 2015), where the Court refused to enforce an online predispute arbitration agreement (“PDAA”) contained in “clickwrap” or “browsewrap” Terms of Service (“TOS”) because there wasn’t clear notice of the TOS (see SAA 2015-08). We learned recently that the […]

By Burton W. Wiand Where the evidence does not contradict the notion that a customer named her broker as a beneficiary of her estate as a gift, the broker does not commit the crime of exploitation of the elderly by accepting the benefit. Franke vs. State of Florida, No. 4D13-1678 (Fla. App., 4Dist., 12/16/15). A […]

Speer v. Morgan Stanley Smith Barney, LLC, FINRA ID #13-00549 (Tampa, FL, 3/21/16). The arbitration pleadings – which we sometimes manage to obtain – often shed light on the likely reasons for the arbitrators’ decision when the Award itself reveals little or nothing on that point, but they sometimes also present two mutually contradictory views […]

By George H. Friedman* [The author thanks the Securities Arbitration Commentator for letting him borrow liberally from its Securities Arbitration Alert] Much has been written in recent years about the likely demise of mandatory predispute arbitration agreements (“PDAAs”) in the consumer financial context. I should know, I’m one of the authors. But recent events have […]

By Paul J. Dubow FINRA Rule 12200 requires a FINRA member to arbitrate disputes with its customers and the customers of its associated persons. AXA Advisors, LLC vs. Lee, No. 15-137 (D. Ida., 1/27/16). Off the Grid The Lee family commenced an arbitration proceeding against AXA arising out of losses suffered through the purchase of […]