Justia Arbitration & Mediation Opinion Summaries

The plaintiff, a religious organization, sought to reclaim possession of a commercial property occupied by the defendants through a summary process action. The dispute arose after the founder and former president of the plaintiff, D, transferred his responsibilities to S in 2014. S took possession of the property and operated two companies from it, making regular mortgage payments until his relationship with D deteriorated, leading to a cessation of payments. D then ordered S to vacate the property and purported to remove him from his position. The parties agreed to resolve their disputes before a Bais Din, a rabbinical tribunal, which ruled that S would continue as the leader and make mortgage payments, while D retained ownership of the property for three years.The trial court, the Superior Court in the judicial district of Stamford-Norwalk, initially denied the defendants' motion to dismiss the action for lack of subject matter jurisdiction but ordered a stay to allow arbitration before the Bais Din. The court found that D had signed the arbitration agreement intending to bind the plaintiff and that the ownership issue was to be adjudicated by the Bais Din. However, after the stay period, the court denied the defendants' motion to stay the proceedings and compel arbitration, concluding that the plaintiff was not a party to any arbitration agreement and that the court would resolve the ownership and landlord-tenant issues.The Supreme Court of Connecticut reviewed the case and found that the trial court erred in failing to enforce the arbitration agreement. The court held that the plaintiff was bound by the arbitration agreement, as D signed it in a representative capacity with the intent to bind the plaintiff. The court noted that the arbitration agreement covered all disputes between the parties, including the issue of possession of the property. Consequently, the Supreme Court reversed the trial court's judgment and remanded the case with direction to grant the defendants' motion to stay the proceedings and compel arbitration. View "Chabad Lubavitch of Western & Southern New England, Inc. v. Shemtov" on Justia Law

The case involves the State of Connecticut and the Connecticut State University Organization of Administrative Faculty, AFSCME, Council 4, Local 2836, AFL-CIO. The plaintiff, the state, sought to vacate an arbitration award reinstating a union member to his employment as the director of student conduct at a state university. The defendant union sought to confirm the award. The grievant’s employment had been terminated in connection with a domestic dispute involving his wife. The university conducted its own investigation and subsequently informed the grievant that his employment was being terminated as a result of his off-duty conduct. The union contested the grievant’s discharge, and an arbitration hearing was held. The arbitrator concluded that the university did not have just cause to terminate the grievant’s employment and ordered his reinstatement.The state contended that the award violated public policy. The trial court rendered judgment granting the state’s application to vacate the award and denying the union’s motion to confirm the award, from which the union appealed. The Supreme Court of Connecticut held that the state failed to demonstrate that enforcement of the arbitration award reinstating the grievant to his position of director of student conduct violated public policy. The court reversed the trial court’s judgment and remanded the case with direction to grant the union’s motion to confirm the award and to deny the state’s application to vacate the award. View "State v. Connecticut State University Organization of Administrative Faculty" on Justia Law

The case involves a group of former firefighters who retired from the city of Meriden and claimed damages from the city and the Meriden Municipal Pension Board for alleged breach of a collective bargaining agreement. The plaintiffs, who retired in 2015, claimed that they should have received an increase in their pension benefits based on a 2% wage increase that was awarded retroactively in an arbitration process after the plaintiffs had retired. The trial court ruled in favor of the plaintiffs, holding that the defendants had breached the collective bargaining agreement by failing to recalculate the plaintiffs' pension benefits based on the retroactive wage increase.On appeal, the Connecticut Supreme Court reversed the trial court's decision. The Supreme Court held that the defendants did not breach the collective bargaining agreement. This conclusion was based on the fact that the pension plan did not allow for the recalculation of pension benefits for retirees who voluntarily retired before the issuance of the arbitration award. The court noted that the pension plan only allowed for a retroactive adjustment of pension benefits for those who were forced to retire due to reaching the mandatory retirement age of 65. The court also held that the trial court did not lack subject matter jurisdiction to hear the case, rejecting the defendants' claim that the plaintiffs failed to exhaust their administrative remedies before filing the lawsuit. View "Stiegler v. Meriden" on Justia Law

The Supreme Court affirmed the judgment of the trial court denying Plaintiff's application to vacate an arbitration award rendered in favor of Defendant and granting Defendant's motion to confirm the award, holding that Plaintiff failed to satisfy any of the legal standards required for reversal of the trial court's judgment.Defendant filed an arbitration complaint asserting claims of breach of contact, breach of fiduciary duty, and common-law fraud. The arbitrator issued an award in favor of Defendant. Thereafter, Plaintiff filed an application to vacate the award. The trial court denied the application to vacate and granted Defendant's motion to confirm the award. The Supreme Court affirmed, holding (1) the arbitrator gave Plaintiff the full and fair hearing to which he was entitled under governing law, public policy, and the parties' arbitration agreement; and (2) the arbitrator properly applied the fugitive disentitlement doctrine to prevent Plaintiff from asserting counterclaims or defenses, contesting the allegations, and viewing the evidence against him. View "Ahmed v. Oak Management Corp." on Justia Law

The Supreme Court affirmed the judgment of the trial court granting Insured's application to compel appraisal with regard to a dispute as to the extent of Insurer's replacement obligation under Con. Gen. Stat. 38a-316e(a) (matching statute), holding that there was no error.At issue was whether a dispute as to the extent of an insurer's obligation under the matching statute to replace items or items in a covered loss for real property with "material of like kind and quality so as to conform to a reasonably uniform appearance" was a question properly relegated to the appraisal arbitral process or a question of coverage to be resolved by the court in the first instance. The trial court granted Insured's application to compel arbitration in this case. The Supreme Court affirmed, holding that the parties' dispute fell within the scope of the insurance policy's appraisal clause. View "Klass v. Liberty Mutual Insurance Co." on Justia Law

The Supreme Court affirmed the judgment of the appellate court remanding this case to the trial court with direction to render judgment in favor of Defendant on Plaintiff's negligence claim that had previously been the subject of mandatory arbitration in a prior civil action, holding that the appellate court's decision was not in error.Plaintiff brought a personal injury action against Defendant in 2015. Before trial, the parties attended arbitration, and the arbitration found in favor of Defendant. The trial court entered judgment in accordance with the arbitrator's decision. Plaintiff then brought the instant action repeating the allegations of negligence in the first action. The trial court granted Defendant's motion to dismiss on the basis of res judicata. The appellate court affirmed on different grounds, concluding that action was not viable because the action had been tried on its merits by the arbitrator and had resulted in a judgment in favor of Defendant. The Supreme Court affirmed, holding that appellate court did not err. View "Larmel v. Metro North Commuter Railroad Co." on Justia Law

The Supreme Court affirmed the judgment of the appellate court affirming the judgment of the superior court dismissing as untimely Plaintiff's application to vacate an arbitration award, holding that the thirty-day limitation period set forth in Conn. Gen. Stat. 52-420(b) applied to Plaintiff's application to vacate.The trial court concluded that Plaintiff's application to vacate an arbitration award rendered in favor of Defendants was untimely under section 52-420(b) because the application was filed more than thirty days after Plaintiff received notice of the arbitration award. The appellate court affirmed. On appeal, Plaintiff argued that the appellate court erred in concluding that its application to vacate the arbitration award was governed by section 52-420(b), in contravention of a private agreement between the parties. The Supreme Court affirmed, holding that the trial court properly held that section 52-420(b) applied to Plaintiff's application to vacate. View "A Better Way Wholesale Autos, Inc. v. Saint Paul" on Justia Law

The Supreme Court affirmed the judgment of the trial court granting the City of Waterbury's motion to dismiss this action seeking to have the trial court confirm an interest arbitration award, holding that the trial court correctly determined that it lacked subject matter jurisdiction to confirm the award under Conn. Gen. Stat. 52-417.Brass City Local, CACP (the union), a collective bargaining unit that represented employees of the Waterbury Police Department, brought this action seeking confirmation of an arbitration award issued in accordance with the provisions of Conn. Gen. Stat. 7-473c of the Municipal Employees Relations Act (MERA). The trial court granted the City's motion to dismiss, concluding that the court lacked subject matter jurisdiction to consider the union's application to confirm. The Supreme Court affirmed, holding that the trial court correctly determined that it lacked jurisdiction under section 52-417 to confirm an interest arbitration award issued pursuant to section 7-473c. View "Brass City Local, CACP v. City of Waterbury" on Justia Law

The Supreme Court reversed in part the judgment of the trial court granting Plaintiff's motion to vacate an arbitration award and denying Defendant's corresponding application to confirm the award, holding that the arbitrator did not exceed her authority or manifestly disregard the law, but the inclusion of issues related to child support in the award was improper.Before the parties were married they executed a premarital agreement. Years later, Plaintiff brought this action to dissolve the marriage, and the parties executed a binding agreement to arbitrate the dissolution action. At issue was the validity of the arbitrator's award dividing the equity in the parties' marital home and assigning responsibility for certain expenses related to child support. The trial court granted Plaintiff's motion to vacate the portion of the arbitration award. The Supreme Court reversed in part, holding (1) the trial court erred in ruling that the arbitrator's award exceed the scope of the parties' submission; (2) any error in distributing the equity in the marital home would not permit a court to vacate the arbitration award; and (3) because Connecticut law prohibits the inclusion of issues related to child support in arbitration awards, this portion of the award is reversed. View "Blondeau v. Baltierra" on Justia Law

In this construction dispute between a property owner and a general contractor the Supreme Court affirmed the judgment of the appellate court that, in the absence of clear evidence of contrary intent by the parties, subcontractors are presumptively in privity with the general contractor for purposes of res judicata as to the subcontractors' claims that did not participate in arbitration.These appeals arose from disputes regarding the construction of a store expansion. Plaintiffs, the store owners, and the general contractor, pursuant to a contract between them, entered arbitration to resolve various disputes regarding the project. None of the five subcontractors (Defendants) were formally a party to the arbitration. The arbitrator issued an award ordering Plaintiffs to pay the general contractor $508,597 for sums due. Plaintiffs subsequently filed suit seeking to recover from Defendants. Defendants moved for summary judgment based on res judicata. The trial court denied the motions on the grounds that Defendants were not parties to the arbitration and were not in privity with the general contractor. The appellate court reversed. The Supreme Court affirmed, holding that Defendants were in privity with the general contractor for purposes of res judicata and that Plaintiffs' claims were barred because they could have been raising during the arbitration. View "Girolametti v. Michael Horton Associates, Inc." on Justia Law