A version of this story originally appeared in the Delaware Business Court Insider, an American Lawyer affiliate.
Attorneys representing the Delaware Court of Chancery have filed an appeal seeking to overturn a federal court decision that declared the court’s confidential arbitration program unconstitutional, effectively killing the program.
The appeal was filed Monday in the U.S. Court of Appeals for the Third Circuit, in Delaware Coalition for Open Government v. Strine. The Chancery Court, which hopes to reverse an August ruling by U.S. District Judge Mary McLaughlin in Philadelphia, did not detail any legal arguments in the filing. Meanwhile, the injunction issued by McLaughlin barring the Chancery Court from utilizing the arbitration program is still in effect.
Chancery Court Chancellor Leo Strine Jr., along with the court’s four vice chancellors, were all named as defendants in the lawsuit. They are represented by Widener University law professor Lawrence Hamermesh and Joel Friedlander and Andre Bouchard of Wilmington’s Bouchard Margules & Friedlander.
Hamermesh declined to comment on the appeal. In an earlier statement responding to the August decision, the defendants said that “given the importance providing U.S.-domiciled businesses with cost-effective ways to resolve disputes to our nation’s and state’s economic competitiveness and ability to create jobs, we will channel our disappointment into the productive exercise of putting together the best appeal papers we can.”
David Finger of Finger & Slanina is representing the plaintiff, the Delaware Coalition for Open Government, a nonprofit organization advocating government transparency.
“We are confident we will prevail,” Finger said of the appeal.
(Click here for previous Litigation Daily coverage of the case. Delaware Business Court Insider has more on the appeal.)