Calif. Court Supports Expanded Arbitration Review

Law360, New York (August 25, 2008, 12:00 AM EDT) -- The California Supreme Court has ruled that parties to an arbitration agreement can agree to challenge an arbitrator's decision on the merits under California law if the parties call for such a review in their contract.

In an opinion filed Monday, the state's highest court found that a provision in a contract between DirecTV Inc. and satellite equipment providers that prevented arbitrators from making errors of law could be enforced under California's arbitration rules.

“If the parties constrain the arbitrators’ authority by requiring a dispute to...
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