Posts tagged "arbitrator error"

Stay Classy, Eleventh Circuit: Class Arbitration Allowed

In a major decision, the U.S. Court of Appeals for the Eleventh Circuit recently confirmed an arbitral award that permitted class arbitration when the underlying arbitration clause was silent on the permissibility of class arbitration. By issuing this decision in Southern Communications Services, Inc v Thomas, No 11-15587, 2013 WL 3481467 (11th Cir July 12 2013), the court once again underscored the extremely high level of deference granted to arbitrators, while at the same time threw a lifeline to the sputtering class action practice in the United States.

The Price of Agreeing to Arbitration

In the recent decision of Oxford Health Plans v. Sutter, the U.S. Supreme Court ruled unanimously that even a "grave error" of an arbitrator is not enough to vacate an award in most cases. Oxford Health Plans had gone to federal court seeking to vacate an arbitrator's decision that John Sutter, MD, could bring a class action on behalf of himself and other New Jersey physicians alleging that Oxford failed to make full and prompt payment for services provided to members of Oxford's network.

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