Calif. Arbitration Ruling May Curb 3rd-Party Discovery

Law360 (July 29, 2020, 12:45 PM EDT) -- Obtaining prehearing discovery from third parties in California arbitration proceedings had historically been plagued by uncertainty and disagreement, which undermined arbitration goals of increased efficiency and the right to a full and fair hearing. 

That is because California state courts provided zero guidance on the scope of prehearing, third-party discovery in arbitration proceedings. This lack of clarity required parties to engage in unnecessary and time-consuming disagreements/hearings, which further undermined the very efficiencies parties expected when opting for arbitration.[1]

The scope and limitations of third-party discovery in arbitration proceedings is clearer at the federal level.[2] Indeed, a majority of federal circuit courts...

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