Friday, March 2, 2018

SCOTUS Issues Stay in Federal Arbitration Act Case

Today the Supreme Court granted a stay in Henry Schein, Inc. v. Archer and White Sales, Inc. Here’s the full order:

The application for stay presented to Justice Alito and by him referred to the Court is granted, and the proceedings in the United States District Court for the Eastern District of Texas, case No. 2:12-cv-572, are stayed pending the timely filing and disposition of a petition for a writ of certiorari. Should the petition for a writ of certiorari be denied, this stay shall terminate automatically. In the event the petition for a writ of certiorari is granted, the stay shall terminate upon the sending down of the judgment of this Court.

As the applicant-soon-to-be-petitioner’s application puts it:

This case presents a straightforward conflict among the courts of appeals on an important and frequently recurring question involving the FAA. There is an entrenched conflict on the question whether a court may decline to compel arbitration where the court determines that the claim for arbitration depends on a purportedly “wholly groundless” interpretation of the parties’ arbitration agreement.

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