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UNITED STATES 2025-1
United States District Court, Southern District of Florida, 28 March 2023, Case No. 21-cv-61378-ALTMAN/Hunt
(Bulent Cosgun v. Seabourn Cruise Line Limited Inc.)
UNITED STATES 2025-1
The District Court compelled arbitration of a dispute concerning the seaman employment contract of the plaintiff, dismissing his contention that the New York Convention did not apply because one of the four requirements for an arbitration agreement to fall under the Convention was not satisfied, namely, no seat of arbitration in a Convention country was indicated. The Court found that, although the Eleventh Circuit had held (in dicta) that this was a jurisdictional requirement, its finding was based on a misreading of the Convention and the Federal Arbitration Act, which only established three jurisdictional prerequisites: (i) the agreement must be in writing; (ii) it must concern a commercial dispute; and (iii) it must not be entirely between US citizens.
The court discusses how to interpret the Convention’s requirement that the agreement is not null and void etc., as well as specific cases of invalidity: e.g., lack of consent (misrepresentation, duress, or fraud), vague wording of the arbitral clause; other terms of the contract contradict the intention to arbitrate, etc.
The court discusses which law – lex fori, lex contractus, law of the State where the award will be made – applies specifically to determining whether an agreement to arbitrate is “null and void etc.“, and, by extension, which law applies to determining the validity of arbitration agreements.