California Supreme Court,
Civil Litigation,
U.S. Supreme Court
May 17, 2013
The invincibility of arbitration clauses
Cases before the U.S. and state high courts involve very different analyses, but may ultimately lead to a similar result - rules making the enforceability of arbitration clauses vary from case to case.
2nd Appellate District, Division 2
Brian M. Hoffstadt
Associate Justice
California Court of Appeal
UCLA School of Law, 1995
Contracts to arbitrate disputes are special. The Federal Arbitration Act (FAA) generally declares arbitration clauses to be "valid, irrevocable, and enforceable," 9 U.S.C. Section 2, and thereby renders these clauses resistant to challenges that might invalidate other contracts. In this sense, they are "super contracts."
They are nevertheless vulnerable to two types of doctrinal "kryptonite." The U.S. and California Supreme Courts are in the midst of defining those vulnerabilit...
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