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arbitrator may reasonably interpret a contract to permit limitation of its terms by equitable principles

The following summaries are of recent published decisions of the California appellate courts, the Ninth Circuit, and the United States Supreme Court. The summaries are presented without regard to whether Severson & Werson represented a party in the case.

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An arbitrator did not exceed her powers and the trial court correctly refused to vacate the arbitration award under CCP 1286.2(a)(4) for exceeding powers.  The award limited the indemnity to which the parties' contract otherwise entitled defendant on equitable grounds. Nothing in the agreement prohibited the arbitrator from doing so.  Absent express provision to the contrary, the arbitrator may reasonably… Read More