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Nortek Inc. v. ITT LLC

Breach, Performance Claims Arising From Asbestos Exposure Suits Subject to Arbitration

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MEMORANDUM OPINION AND ORDER Nortek Inc. (“Plaintiff”) commenced this action against ITT LLC (“Defendant”) on May 5, 2021. (Doc. 1, “Compl.”). Plaintiff asserts three claims for relief: (1) breach of contract; (2) specific performance; and (3) implied (common law) indemnification. Before the Court is Defendant’s motion to compel Plaintiff to arbitrate its claims. Defendant moved on June 2, 2021 (Doc. 9; Doc. 10, “Def. Br.”; Doc. 11, “Brown Decl.”), Plaintiff opposed on June 16, 2021 (Doc. 19, “Pl. Opp.”), and the motion was fully briefed with Defendant’s submission of a reply brief on June 23, 2021 (Doc. 20, “Reply”). For the reasons set forth below, Defendant’s motion to compel arbitration is GRANTED. BACKGROUND Plaintiff is a manufacturer and distributor of building products for residential and commercial applications. (Compl. 2). Defendant is a global, multi-industrial manufacturer of highly engineered critical components and customized technology solutions for a wide range of transportation, industrial, and energy markets. (Def. Br. at 2). In 1963, Defendant acquired a product line of unit heaters for domestic and industrial applications (the “Reznor Business”).¹ (Id.; Brown Decl. 10). Certain products manufactured by the Reznor Business allegedly contain asbestos. (Compl. 8). ITT Corporation,² ITT Industries of Canada, Ltd., National Temperature Control Centers, Inc., and ITT Industries Limited (collectively, “Seller”) entered into an Asset Purchase Agreement (Compl. Ex. A, “APA”) dated June 28, 1985 with FL Industries, Inc. (“FL” or “Buyer”) to “convey certain assets” to FL, including the Reznor Business. (Compl.

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