First Paragraph
In Lagstein v. Certain Underwriters at Llyod's, London, the defendant insurer's motion to vacate the arbitration award upon reasons beyond the scope of Section 10 of the Federal Arbitration Act ("FAA") was denied by the United states Court of Appeals for the Ninth Circuit. The Court of Appeals explained that FAA § 10 commands the only circumstances in which a court may vacate an arbitral award; which include standard contract defenses like fraud, duress, or corruption, evident partiality on behalf of the arbitrator(s), arbitrator misconduct in administering the proceeding, or excess arbitrator authority. Relying on Hall Street Associates, L.L.C. v. Mattel, Inc. and Kyocera Corp. v. Prudential-Bache Trade Services, Inc., the Court maintained that FAA §§ 10-11 "'provide the exclusive grounds for expedited vacatur and modification.'"
Recommended Citation
Emma M. Kline, Ninth Circuit Denies Insurer's Gamble on Vacatur in Nevada, 3 Arb. L. Rev. 276 (2011).