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UNITED STATES 1017
United States Court of Appeals, Second Circuit, 25 November 2020, 19-3400-cv
(Rodrigo R. Pagaduan v. Carnival Corporation, dba Carnival Cruise Lines)
UNITED STATES 1017
Pagaduan appealed from a district court's order denying his motion seeking non-enforcement of a Philippine arbitral award compensating Pagaduan for injuries he suffered as a crewmember aboard one of Carnival's ships, in the amount of US$ 5,100 and attorney's fees, but declining to provide other relief. Pagaduan opposed enforcement on the ground that there had been a violation of due process within the meaning of Art. V(1)(b) of the New York Convention. The Court disagreed, noting that Pagaduan had submitted multiple briefs, medical records, and affidavits before the arbitrator, though he chose to focus his arguments almost entirely on whether the arbitrator had jurisdiction over the case. The argument that confirmation should be denied on grounds of public policy pursuant to Art. V(2)(b) of the Convention – because the lesser remedies available under Philippine law contravene United States policy to provide special solicitude to seamen under the US Jones Act – also failed. The Court held that even assuming that Pagaduan's recovery was lower under Philippine law than it might have been under the Jones Act, nothing about the award was so contrary to federal public policy as to violate the most basic notions of morality and justice of the United States.
The court discusses the burden of proof of the grounds for refusing enforcement under the Convention.
Due process: The court discusses various irregularities affecting due process, including letters not sent, names of arbitrators or experts not communicated, language of proceedings and communications, etc.
Public policy: The court discusses the meaning of (international as compared to domestic) public policy, generally defined as the basic notions of morality and justice of the enforcement State.
Public policy: The court discusses the effect of other alleged violations of public policy on the recognition and enforcement of an arbitral award, such as contradictory reasons, manifest disregard of the law (US), etc.