Arbitration Clause Trumps State Administrative Tribunal
Not exactly a news flash but worth noting all the same: today's decision by the U.S. Supreme Court once again affirms the virtual supremacy of arbitration clauses.
Here, the dispute revolved around TV's "Judge Alex" and an entertainment lawyer. It seems the good Judge failed to pay his counsel. To collect the debt, the lawyer filed an arbitration demand under the arbitration clause in the contract. The good Judge said that the contract as a whole was null and void because the lawyer was not properly licensed under a California statute that regulates talent agents -- and on that ground sought to have the dispute decided by a state administrative tribunal that has original jurisdiction over such issues.
The good Judge lost & will have to arbitrate his claim that the contract was null and void.