Law Commons^™

Contractual Agreements To Aribtrate Disputes: Whose Intent Controls - Skewes V. Shearson Lehman Bros., Eric M. Landoll

Journal of Dispute Resolution

With the enactment of the Federal Arbitration Act [hereinafter F.A.A.]2 in 1925, Congress attempted to place arbitration agreements "upon the same footing as other contracts."3 This Act, later described as a "liberal federal policy favoring arbitration, "' creates a presumption in favor of arbitration where ambiguities arise as to the scope of an agreement.5 Under this interpretation, it appears that the intent of the parties can be overlooked in favor of the federal policy favoring arbitration. This is contrary to general principles of contract interpretation and would appear to be a trap for those unfamiliar with this area of the …