Arbitrating Contract Formation Challenges: Putting the Cart Before the Horse?
This article examines how New York courts approach the question of arbitrability generally and explores the murky depths of New York case law where that question coincides with a challenge to contract formation.
December 10, 2021 at 02:30 PM
8 minute read
Because arbitration is "a creature of contract," the threshold question to be decided on a motion to compel arbitration is whether the parties have agreed to arbitrate. New York law is clear that this question—arbitrability—is typically an issue for judicial determination. It is also clear that when presented with a valid arbitration clause in a fully formed contract, New York courts, relying on New York law and substantive federal precedent, will cede control to the arbitrator to interpret the contract, including when the parties' dispute goes to the validity of the contract.
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