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Beiser v. Weyler

Whenever an arbitration agreement falling under the Convention on the Recognition and Enforcement of Foreign Arbitral Awards could conceivably affect the outcome of the plaintiff's case, the agreement "relates to" to the plaintiff's suit.

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Appeal from the United States District Court For the Southern District of Texas

In this appeal, we decide whether the plaintiff’s lawsuit, alleging only state law causes of action, “relates to” an international arbitration agreement with the defendants, such that the district court had removal jurisdiction under 9 U.S.C. � 205.*fn2 That section permits defendants to remove a plaintiff’s state-filed lawsuit to federal court when the subject matter of the suit “relates to” an arbitration agreement that “fall[s] under” the Convention on the Recognition and Enforcement of Foreign Arbitral Awards (hereinafter “the Convention”).*fn3

Fred Beiser, a consultant in the oil and gas industry, served as a director and the only employee of Horizon Energy Limited (“Horizon”). Horizon is a limited liability company organized under the laws of the State of Jersey, in the Channel Islands. Horizon contracted to consult with Roy M. Huffington, Inc. on the acquisition of development rights to an oil and gas field in Hungary.

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