In a real estate broker commission dispute, the arbitrator had granted injunctive relief in favor of the plaintiff broker, ordering a percentage of the sale of certain real estate to be placed in an escrow account pending the outcome of the arbitration. The arbitrator had also suggested in an email to the parties, his belief that the arbitration proceeding was binding. The plaintiff then sought to confirm these two “awards.” Regarding the award of injunctive relief, the defendants contended that the arbitrator committed a manifest disregard of the law by misconstruing the legal standard for entry of an injunction. The court, however, confirmed the injunction award, finding that there was no record of the basis for the arbitrator’s injunction, and therefore the court could find no manifest disregard of the law. Regarding the arbitrator’s email stating that the arbitration would be binding, the court refused to confirm, holding that there were no formal orders or opinions memorializing that ruling. Bowers v. Northern Two Cayes Co. Ltd. Lighthouse Reef Resort Ltd., Case No. 1:15-cv-00029-MR-DLH (USDC W.D.N.C. July 7, 2016).
This post written by Joshua S. Wirth.
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