Across industries and jurisdictions, one particular challenge corporate counsel face on a consistent basis: when an employee, vendor, or party to an agreement tries to circumvent a seemingly iron clad arbitration agreement. Often, a disgruntled party (or non-party) to an agreement that contains an arbitration clause will seek to bring its claims in non-arbitration forums that it perceives to be more favorable (typically, United States courts).
It’s a familiar scenario: counsel spend hours drafting a contract or agreement, attempting to anticipate all possible scenarios, and developing a deal package and suite of agreements related to a critical transaction. The dispute resolution clause appears straightforward and airtight. Then, out of the blue, the company is slammed with claims in an unfavorable forum.
