WSC/2005 LLC v. Trio Ventures Associates

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At issue was whether a court may vacate an arbitrator’s decision for manifest disregard of applicable law even though such a ground is not listed in Md. Code Cts. & Jud. Proc. 3-224(b). Petitioners sought to vacate the arbitration award in this case, arguing that the arbitrator manifestly disregarded well-established Maryland law. The circuit court dismissed the petition but denied Respondents’ request for attorney’s fees. The court of special appeals affirmed. The Court of Appeals affirmed, holding that the arbitrator’s award did not demonstrate manifest disregard of applicable law and that the circuit court did not abuse its discretion in refusing to award attorney’s fees. Specifically, the Court held (1) the General Assembly did not preempt the common-law ground of manifest disregard of the law when it enacted the Maryland Uniform Arbitration Act; (2) because the arbitrator did not make a palpable mistake of law or fact appearing on the face of the award, the lower courts correctly concluded that the arbitrator’s award did not demonstrate a manifest disregard; and (3) the circuit court did not err in declining to award attorney’s fees to Respondent. View "WSC/2005 LLC v. Trio Ventures Associates" on Justia Law