UNITED STATES 22 October 2020 Montana Association

United States District Court, District of Montana, Missoula Division, 22 October 2020, CV 19-196-M-DLC
(Montana Association of Counties Property and Casualty Trust v. Certain Underwriters at Lloyds)

22 - 10 - 2020

UNITED STATES 22 October 2020 Montana Association

Jurisdiction United States
Summary

The Court granted the defendant's motion to compel arbitration. Applying Montana law principles of contract interpretation, the Court found that the policy between the parties contained a valid arbitration clause and that the service-of-suit provision also contained in the policy worked in concert, not in conflict-with the arbitration provision. Further, the four jurisdictional requirements for compelling arbitration under the New York Convention – that there is an agreement in writing within the meaning of the Convention; the agreement provides for arbitration in the territory of a Convention signatory; the agreement arises out of a legal relationship, whether contractual or not, which is considered commercial; and a party to the agreement is not an American citizen, or the commercial relationship has some reasonable relation with one or more foreign states – were met.

Related topics
217

The court discusses the meaning and effect of the referral of the resolution of disputes to arbitration, including: who can ask for referral and when, whether a party has waived its right to request arbitration, the defense that there was no contract at all; whether there was a condition precedent to the commencement of arbitration (e.g. mediation), stay of proceedings v. compelling arbitration, and national procedural specificities such as remand and removal (US), effect of class action. etc.

Referral to arbitration in general
220

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.

"Null and void", etc.
UNITED STATES 22 October 2020 Montana Association