Chancery Court's Arbitration Loss Won't Tarnish Sterling Rep

By Lance Duroni (September 4, 2012, 6:49 PM EDT) -- A federal judge's decision barring Delaware Chancery Court judges from arbitrating business disputes behind closed doors won't knock the venerable court off its pedestal in the realm of corporate law, experts say, despite ominous warnings from the court itself.

On Thursday, U.S. District Judge Mary A. McLaughlin cut down the Chancery Court's private arbitration program, agreeing with a nonprofit that sued the court and its five judges in November that the process violates the First Amendment right of access to the courts.

Set up by a Delaware law passed in April 2009, the program allows Chancery Court judges to arbitrate business...

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