Bailey vs. Chase Securities, Inc., et al, 01-Civ-7222 (AGS), 2002 U.S. Dist. LEXIS 7788 (SDNY 5/1/02) Employment Discrimination * ADEA * SRO Rules (NASD Rule 10201) * Consolidation Issues (Bifurcation) * Arbitration Agreement (Form U-4) * Employment Agreement * Competing Agreements * Waiver * Prejudice to Party. The Form U-4 […]
Tag: Arbitration
Stay of Non Arbitrable Claims is Discretionary
Stay of Non-Arbitrable Claims is Discretionary Where Arbitrable Claims Exist Baggesen vs. American Skandia Life Assurance Corp. Baggesen v. American Skandia Life Assurance Corp. & Securities America, Inc., 2002 U.S. Dist. LEXIS 23411 (D. Mass, 12/5/02). FAA (§ 3) * Agreement to Arbitrate * Stay of Litigation * Scope of […]
State Laws Aimed At Arbitration Contracts Preempted
State Laws Aimed At Arbitration Contracts Preempted BRADLEY v.HARRIS RESEARCH, INC., No. 00-16021 (9th Cir., 12/28/01): Chem-Dry is a well-known provider of carpet cleaning services and HRI is a Utah corporation that franchises these outlets. HRI granted a Chem-Dry franchise to the Bradleys in 1983 and, in the Franchise Agreement, […]
Customer Not Beneficiary of Clearing Agreement
Customer Not Beneficiary of Clearing Agreement Hossain vs. Rauscher Pierce Refsnes Hossain v. Rauscher Pierce Refsnes, Inc., Case No. 97-1380 (D. Kan., 5/15/00): A customer of an introducing broker is not a third party beneficiary of a clearing agreement between an introducing and clearing broker. Hossain claimed to be a […]
Use of “Prior Bad Act” Evidence Causes Reversal of Award
Prior NASD Disciplinary Proceedings Cannot Be Used at Trial Markowski v. Attel Bank Intl., Ltd., No. 3D98-3336 (Fla. Dist. Ct., 3Dist., 6/14/00): On appeal from a bench trial, Defendant Markowski challenges the judgment below. In this matter, Attel Bank sought to enforce and collect on a promissory note executed […]
Mistake of Law is Not Disregard of Law
California Court upholds arbitration award Baraban Securities, Inc. v. Viersen & Watts, Case No. CV 00-02931 (WJR) (C.D. Calif., 4/18/00): Baraban alleges manifest disregard of the law in its petition to vacate the underlying NASD Award (NASD ID #97-02538, Portland, OR, 2/23/00), claiming that the claims were encompassed by a […]
Refusal to Grant Adjournment
Third Time is not a charm Whale Securities Co., L.P. v. Godfrey, No. 565 (App. Div., 1Dept., 4/4/00): When SAC summarized the decision below, 10 SAC 9(16), we set out the facts in detail and posed the question: “How would you decide?” The question at hand, whether the Arbitrators engaged […]
Arbitrators Award $750,000 for Annuity Sold to 96 year old
Danks vs. Merrill Lynch DANKS v. MERRILL LYNCH, PIERCE, FENNER & SMITH, INC., NASD ID #01-06242 (Boca Raton, 1/22/03). On claims relating to the propriety of a single, large investment by a 96 year-old decedent, a three-person Panel grants compensatory damages of $606,682, plus pre-judgment interest of $143,318. The say-nothing […]
Fraud in Execution of Agreement is Defense in Arbitration
Fraud In Execution of Arbitration Agreement is Defense to Confirmation of Award Even if the appellant did not move to vacate or object to the arbitration proceeding. Trading Direct v. LaRusso, 2002 Conn. Super. LEXIS 480 (Conn. Super., 2/7/02). Agreement to Arbitrate * Appealability * Award Challenge * Collateral Attack […]
Eligibility and Attorney Fee Awards Under Review
Courts accept cases dealing with Eligibility and Attorney Fee Awards ELIGIBILITY AND ATTORNEY FEES UNDER REVIEW: The Florida Supreme Court is reviewing its position on the awarding of attorney fees in arbitration and the effect of the six-year eligibility provision on a litigant’s claims. Barron Chase v. Moser was accepted […]
