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Another Court Embraces The “Reasonableness” Standard For Proving “Evident Partiality” Under the FAA. “Repeat Player” Challenge Rejected.
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Neither past service as arbitrator in a previous case involving one of the parties (which was disclosed to the parties), nor the number of cases that party had with the arbitration provider (which was not disclosed to the parties),

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Like Rodney Dangerfield, Commonwealth Coatings “Don’t Get No Respect” – and it Shouldn’t!
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By George H. Friedman*

[This is a summary of the lead article in this month’s Securities Arbitration Commentator]

Introduction

As reported in the June 18th issue of the Securities Arbitration Alert,

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Alabama Supreme Court Narrowly Construes “Evident Partiality” Grounds For Award Vacatur Under the FAA; Adopts Reasonableness Standard
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In a unanimous decision, the Supreme Court of Alabama holds that a “mere appearance” of arbitrator bias is not enough to satisfy the “evident partiality” ground for vacating an Award under the Federal Arbitration Act (“FAA”).

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“Manifest Disregard” Lives in Delaware, But It’s Hard to Prove
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Although “manifest disregard of the law” remains a basis to challenge an arbitration Award under both Delaware’s arbitration law and the Federal Arbitration Act,

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Remand to Arbitrators to Clarify Award Not a “Final Appealable Order” Under FAA, Fifth Circuit Holds
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A court order remanding an issue back to the arbitrators for clarification, but which neither vacated nor confirmed the Award, is not final and thus not subject to an interlocutory appeal under section 16 of the Federal Arbitration Act.

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Lack Of Mutuality Dooms PDAA in Sirius XM Radio User Agreement, Ninth Circuit Says
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For the fourth time in the past few months, an appellate court holds that lack of mutuality renders a predispute arbitration agreement (“PDAA”) unenforceable.

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