Enforceability of Arbitration Clauses in Bankruptcy | Practical Law

Enforceability of Arbitration Clauses in Bankruptcy | Practical Law

This Note addresses the enforceability of contractual arbitration clauses in US bankruptcy proceedings. Their enforceability is often debated in bankruptcy cases and has led to conflicting case law. Before making, or opposing, a motion to compel arbitration in a federal bankruptcy proceeding, counsel should carefully consider the extent of the bankruptcy court’s discretion over the arbitration demand and the type of dispute to be arbitrated. 

Enforceability of Arbitration Clauses in Bankruptcy

Practical Law Practice Note 5-607-8207 (Approx. 16 pages)

Enforceability of Arbitration Clauses in Bankruptcy

by Practical Law Bankruptcy & Restructuring
MaintainedUSA (National/Federal)
This Note addresses the enforceability of contractual arbitration clauses in US bankruptcy proceedings. Their enforceability is often debated in bankruptcy cases and has led to conflicting case law. Before making, or opposing, a motion to compel arbitration in a federal bankruptcy proceeding, counsel should carefully consider the extent of the bankruptcy court’s discretion over the arbitration demand and the type of dispute to be arbitrated.