Should Parties’ Disclosure Requirements for Arbitrators be Honored by Courts: PositiveSoftware Solutions, Inc. v. New Century Mortgage CorporationExpressO (2008)
AbstractIn this article, we criticize the decision of the Fifth Circuit Court of Appeals in PositiveSoftware Solutions, Inc. v. New Century Mortgage Corporation. In PositiveSoftware, the court confirmed an arbitration award even though the arbitrator had failed to disclose rather significant facts about his relationship to one of the parties. Our thesis is that courts should enforce the arbitrator disclosure requirements to which the parties have agreed by not confirming arbitration awards when arbitrators fail to comply with those disclosure requirements. In adopting the Federal Arbitration Act, Congress intended to encourage the use of arbitration. The net effect of refusing to honor parties’ disclosure rules may be the exact opposite of this intent.
- disclosure of conflicts,
- dispute resolution
Publication DateAugust 15, 2008
Citation InformationLeonard E. Gross and Howard L. Wieder. "Should Parties’ Disclosure Requirements for Arbitrators be Honored by Courts: PositiveSoftware Solutions, Inc. v. New Century Mortgage Corporation" ExpressO (2008)
Available at: http://works.bepress.com/leonard_gross/1/