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Articles Tagged with Arbitration

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In the January 23, 2020 edition of The Legal Intelligencer Edward T. Kang, managing member of KHF wrote “Beyond the Courts: The Potential Future of Arbitration

This recent decision has implications for how practitioners understand the court system and arbitration system to usually work, as well as raising already-existent questions about the fairness of arbitration clauses and its applicability for various types of claims.

In a recent decision from the U.S. Court of Appeals for the Third Circuit, we saw a rare event—the court affirmed the district court’s decision to vacate an arbitration award in Monongahela Valley Hospital v. United Steel, Paper and Forestry, Rubber, Manufacturing, Energy, Allied Industrial and Service Workers International Union, AFL-CIO, CLC, ___F.3d___ (3d Cir. Dec. 30, 2019). This case exemplified one of the rare situations in which the courts have decided to exercise authority and “correct” arbitration awards that have appeared to be blatantly unfair, which could arise from a variety of reasons. This recent decision has implications for how practitioners understand the court system and arbitration system to usually work, as well as raising already-existent questions about the fairness of arbitration clauses and its applicability for various types of claims.

Monongahela Valley Hospital involved a dispute between the hospital and one of its “bargaining unit” employees who are members of the union under a collective bargaining agreement (CBA). About half of the employees of the hospital are supervisors who are not bargaining unit employees. The CBA governed the relationship between the hospital and the bargaining unit employees. The grievances centered around the hospital’s denial of a unit bargaining employee’s request for vacation due to a non-unit bargaining employee’s request for the same time off. The hospital denied the unit bargaining employee’s request because her supervisor, a nonbargaining unit employee, had requested the same week off and both could not be away at the same time. Using its authority to have the “final” say in the matter, the hospital denied the bargaining unit employee’s request. Continue reading →