Supreme Court Rules Class Arbitration Not Permitted When Agreement Is Silent

WASHINGTON, D.C. - (Mealey's) The U.S. Supreme Court in a 5-3 decision April 27 reversed a Second Circuit U.S. Court of Appeals ruling and held that an arbitration panel exceeded its authority under the Federal Arbitration Act (FAA) by construing an arbitration clause to permit class arbitration...

Supreme Court Will Not Hear Equitable Mootness Doctrine Appeal By Debenture Trust

WASHINGTON, D.C. - (Mealey's) The U.S. Supreme Court on April 29 denied a petition for certiorari in which a debenture trust company argued that the Second Circuit U.S. Court of Appeals inappropriately applied the doctrine of equitable mootness in affirming a bankruptcy court's decision that...

2nd Circuit: $5M Contingent Payment Pursuant To Sept. 11 Settlement Not Triggered

NEW YORK — (Mealey’s) The Second Circuit U.S. Court of Appeals on June 9 found that a lower federal court erred in ordering the WTC Captive Insurance Co. Inc. to make a $5 million first contingent payment pursuant to the settlement of personal injury claims filed against the City of New York...

U.S. Supreme Court Rejects Saudi Arabia’s Appeal Disputing Reopening Of 9/11 Suit

WASHINGTON, D.C. — (Mealey’s) The U.S. Supreme Court on June 30 refused to hear the Kingdom of Saudi Arabia’s appeal of the Second Circuit U.S. Court of Appeals’ finding that a lower federal court erred in denying insurers’ motion to reopen a judgment that dismissed sovereign...