A novel legal issue involving arbitration clauses in engagement letters arose in federal court in Philadelphia on Monday as a judge weighed whether to send a legal malpractice case against Bracewell & Giuliani to arbitration in New York.
The plaintiffs in Sanford v. Bracewell & Giuliani questioned whether arbitration clauses in engagement letters between clients and attorneys were violative of public policy, and more specifically, whether the clause in plaintiffs Craig and Mary Jo Sanford’s engagement letter with the firm fully informed the couple what they were giving up by agreeing to arbitration.
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