Recently, a federal court confirmed an arbitration award in an amount in excess of $185 million in a proceeding in which the arbitrator denied the respondent the opportunity for discovery as well as an evidentiary hearing. See 245 Park Member v. HNA Group (International), No. 22-cv-1536-(JGK) (S.D.N.Y. July 25, 2022). What warranted such an unusual result?

The matter involved the investment by petitioner in an affiliate of respondent. As consideration and express inducement for its investment, petitioner secured contractual rights and protections including an absolute and unconditional guaranty from respondent and others. The guaranty contained an arbitration provision that provided in part:

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