Dispute Resolution and Arbitration Commons^™

The Climate-Arbitration Nexus: How Legitimate Expectations Shape Investor Claims In A Decarbonizing World, M. Uzeyir Karabiyik

American University International Law Review

The global push for climate change mitigation, particularly through renewable energy promotion and fossil fuel phase-out, has sparked a surge in investor-state arbitrations. At the heart of these arbitrations lies the concept of “legitimate expectations,” which is considered by arbitral tribunals as a cornerstone of the fair and equitable treatment (FET) standard. This Article conducts a comprehensive analysis of diverse approaches adopted by arbitral tribunals in interpreting legitimate expectations in the context of climate action. It then delves into specific interpretations of this concept within two categories: disputes related to states’ renewable energy promotion policies and those that stem from …

Introductory Remarks, Dana Welch

American University Business Law Review

The year 1925 proved to be eventful for the United States and for the world. The Scopes Monkey Trial placed evolution in the spotlight. The New Yorker published its first issue. The "Grand Ole Opry´ premiered on the radio as the WSM Barn Dance. And fascism threatened Europe as Benito Mussolini dissolved the Italian Parliament and declared himself "Il Duce," the dictator of Italy, while Adolf Hitler published the first volume of Mein Kampf, written from prison. On a lighter note, Washington, D.C., saw the first National Spelling Bee, won by Frank Neuhauser, an eleven-year-old from Kentucky who correctly spelled …

Bringing Section 7 Into The Next Century, Amy J. Schmitz, David M. Brodsky

American University Business Law Review

In 1925, Congress passed a historic piece of legislation, the Federal Arbitration Act (FAA), that attempted to change the American judiciary's hostility towards enforcing arbitration agreements and awards. This hostility was rooted in English common law and migrated to the American civil justice system. But in 1925, Congress gave life to the broad use of executory agreements to enforce compliance with contracts through arbitration.

The Right To Arbitrate(?): Integrating Consumer Protection Into Judicial Review Of The Mccarran-Ferguson Act And The New York Convention, Rachel Bamberger

American University Business Law Review

International commercial arbitration has grown increasingly popular as an alternative method of dispute resolution. This Comment explores the struggle courts face when they must determine whether to apply the New York Convention, an international treaty that recognizes and compels arbitration agreements, or a federal statute known as the McCarran-Ferguson Act, which delegates authority to the states to regulate insurance. Conflict arises when foreign insurers seek to compel arbitration under the New York Convention in states with antiarbitration insurance laws, and courts must choose between upholding domestic state laws or honoring the Treaty.

This Comment examines the method of analysis used …

Through A Glass Darkly: How Securities Disclosures Give A Distorted View Of The Economy, Gerald F. Davis

Seattle University Law Review

Our understanding of the American economy often relies on stylized facts derived from mandatory disclosures by listed corporations. Data vendors like Standard & Poor’s vacuum up 10Ks and proxy statements into databases, and scholars distill these into tentative maps. This may have been adequate for a postwar economy centered on asset-heavy manufacturers, but it is increasingly out of step with an information-based economy. Companies listed on the stock market are fewer in number and less representative than they were, light in tangible assets and people, and heavy on IP. Basic facts such as what industry they are in are increasingly …

The Insurance Solution For Financial Advice Failures, Adam J. Gana, Benjamin P. Edwards

Michigan Business & Entrepreneurial Law Review

Solving the retirement savings crisis requires widespread access to reliable financial advice. Yet financial advisers often operate without insurance, collecting fees and commissions from customers and leaving them penniless when substandard advice causes harm. Instituting insurance coverage requirements would protect investors and allow market forces to discipline misconduct. For decades, advocates and regulators have raised awareness about the millions of unpaid arbitration awards each year; an insurance solution would significantly reduce the harm suffered.

This paper aims to create a roadmap to solve the problem. It identifies the problem and maps out the different levers available to policymakers to increase …

Table Of Contents, Seattle University Law Review

Seattle University Law Review

Table of Contents

Corporate Scenarios: Drawing Lessons From History, Madison Condon

Seattle University Law Review

As corporations are increasingly pressed to reveal information about their exposure to climate-related risks, they are often asked to undertake and disclose the outcome of “scenario analysis.” In this exercise, corporations, including financial institutions, examine how their business would fare under different pathways the future may take. One oft-used scenario, for example, is the International Energy Agency’s “Net-Zero by 2050: A Roadmap for the Energy Sector.” This Essay presents a history of the use of scenarios as a corporate planning tool, particularly in the oil industry, arguing that it is key for understanding our present moment and the role of …

Shareholder Expression In A Time Of Heightened Political Tension, Aaron A. Dhir

Seattle University Law Review

In this article, I provide context for my forthcoming research project on shareholder proposals and racial equity audits. Since the murder of George Floyd in May of 2020, progressive shareholder actors have increasingly used the proposal mechanism to advance diversity, equity, inclusion, and justice-related goals. These proposals have frequently gone beyond requesting the usual corporate fare of diversity trainings, intersectionality workshops, affinity groups, etc. Instead, a more ambitious type of proposal asks corporate America to conduct racial equity audits, defined as “an independent, objective and holistic analysis of a company’s policies, practices, products, services and efforts to combat systemic racism …

Corporate Governance Speech, Sarah C. Haan

Seattle University Law Review

The State has always regulated the intra-firm communications that make corporate governance possible, most commonly by mandating disclosures of information by a corporation to its shareholders. Some such laws are labeled “securities regulation,” but securities regulation is a broad category that extends to speech by actors who are outside the corporate enterprise as well. Also, the conventional securities regulation category does not capture all such laws; other examples, including informationforcing mandates, can be found in state corporate law. This Article uses the term “corporate governance speech” to describe the communications among shareholders, directors, and officers through which corporate governance is …

Dark Accounting Matter, Colleen Honigsberg

Seattle University Law Review

Physicists calculate that approximately 85% of the matter in the universe is composed of “dark matter” that “does not absorb, reflect, or emit electromagnetic radiation and is therefore difficult to detect.” The S&P 500 currently trades at a price-to-book value of 4.2, suggesting that book value accounts for less than 20% of the S&P 500’s market value. The remaining 80% appears nowhere in these firms’ balance sheets—it is invisible to contemporary accounting techniques and constitutes “dark accounting matter.”

Some “dark accounting matter” is composed of factors commonly described as components of “ESG.” Human capital, for example, is an intangible asset …

The Employees’ Dilemma: Balancing Internal Reporting, Whistleblowing, And Insider Trading Risks, Geeyoung Min

Seattle University Law Review

The Essay examines how recent developments in insider trading regulations and whistleblower reward programs can lead to unintended and counterproductive results of discouraging employees from using internal reporting channels within corporate compliance programs. While the presence of a robust and well-functioning corporate compliance program is a critical factor both in mitigating the level of public enforcement actions against companies and in protecting corporate managers from liability in private litigation, these programs often provide little incentive for employees to report potential misconduct internally.

Corporate compliance programs are designed to promote the upward information flow within the company, which is essential for …

How The Antidiscrimination Law Of Commercial Transactions Really Works, Helen Norton

Seattle University Law Review

A variety of businesses now cite 303 Creative when seeking First Amendment protection for their refusal to serve certain customers based on those customers’ protected class status. How this litigation will play out remains to be seen. But future courts need not, and should not, repeat the 303 Creative Court’s misunderstanding of how the antidiscrimination law of commercial transactions actually works.

Part I of this Essay explains the Court’s longstanding understanding of the antidiscrimination law of commercial transactions, and then describes the Court’s failure to engage with this precedent in 303 Creative. Part II then identifies the 303 Creative decision’s …

What We Can Learn From The Notorious P&Id V. Nigeria, Emily Granja

Arbitration Brief

On October 23, 2023, England’s High Court of Justice ruled in favor of the Federal Republic of Nigeria in Nigeria v. Process & Industrial Developments Ltd. (P&ID). Reviewing the case, the High Court vacated P&ID’s $10 billion arbitral award after finding significant evidence of fraud and bribery. While the High Court’s decision marked a victory for Nigeria, it also shook the international arbitration system. This case exposed some of international arbitration’s flaws and generated new concerns regarding the confidentiality inherent in the arbitration process.

The Duality Of Lawyers As Escrow Agents, Douglas R. Richmond

Loyola University Chicago Law Journal

An escrow agent is someone who holds money or property in trust for others under agreed terms until a transaction is completed, or a dispute is resolved. Although institutional depositaries are widely available, clients frequently ask their lawyers to serve as escrow agents in connection with transactions in which the lawyer represents the client. In fact, lawyers are generally permitted to serve as escrow agents with respect to clients' transactions so long as all parties involved knowingly consent to the arrangement. This is true both under agency law and as a matter of lawyers' professional responsibility.

Unlike a lawyer who …

The Emerging Framework For The Recognition & Enforcement Of Annulled Arbitral Awards In U.S. Jurisprudence, Sarah Klim

Articles

The recognition and enforcement of foreign awards are governed almost universally by the United Nations Convention on the Recognition and Enforcement of Foreign Arbitral Awards (the "New York Convention"). However, this recognition and enforcement necessarily invokes national judicial power. The New York Convention does not devise a harmonized set of rules for courts to follow when faced with a request to recognize and enforce an annulled award. This has resulted in divergent approaches by national courts, which derive "not from any perversity of judges but from good faith variants in perspectives on how to construe the treaty."  This paper seeks …

Restorative Justice In Legal Education, Lindsey Pointer, Aparna Polavarapu, Alanna Ojibway

Scholarly Works

No abstract provided.

Volume 48 Masthead, Seattle University Law Review

Seattle University Law Review

Volume 48 Masthead

Voting Matters: Materiality Considerations And The Shareholder Vote, Renee M. Jones

Seattle University Law Review

For the shareholder franchise to have meaning, shareholders must have access to relevant information to inform their voting decisions. The securities laws’ disclosure requirements play an essential role in informing the shareholder vote.

This Essay focuses on the question of the materiality of information in the context of shareholder voting. It addresses the question of whether ESG-related information is material, positioning the materiality inquiry within the context of shareholders’ voting decisions. It explores the definition of materiality with a focus on the “reasonable investor” concept embedded within the definition. The Essay argues that the implicit expectations of many commentators that …

Volume 48 Masthead, Seattle University Law Review

Seattle University Law Review

Volume 48 Masthead

Understanding The Big Three’S Wavering Support Of Environmental And Social Shareholder Proposals, Jeff Schwartz, Jefferson Jensen

Seattle University Law Review

Because of their substantial equity portfolios, BlackRock, Vanguard, and State Street (the Big 3) are central players in corporate governance. It is, therefore, critical to understand how they vote. One puzzle is that their support for shareholder proposals on environmental and social matters appears to waiver. In 2020, for instance, BlackRock supported 11.1% of environmental proposals at S&P 500 firms. In 2021, it seemingly reversed course, supporting 55.2%. It then flipped again, supporting 32.1% in 2022. Such statistics suggest that the Big 3 are constantly changing their views on these topics. This Article seeks to better understand whether this is …

Volume 48 Masthead, Seattle University Law Review

Seattle University Law Review

Volume 48 Masthead

Counterclaims In Investor-State Arbitration: A Tale Of Two Cases, Godwin Tan, Justin Tan

National Law School of India Review

This article explores the evolving role of counterclaims in investment treaty arbitration. While arbitral rules commonly permit counterclaims, their success has historically been limited due to challenges such as the scope of the parties’ consent to arbitration and the lack of a relevant investor obligation to ground the counterclaim. However, a discernible increase in counterclaims under the ICSID Convention over the past 15 years suggests that there may be a shift in practice. Against this backdrop, this article carries out a comparative analysis of two recent decisions – Iberdrola v. Guatemala (2020) and Lopez Goyne Family Trust v. Nicaragua (2023) …

Table Of Contents - Cardozo Journal Of Conflict Resolution, Vol. 26, Iss. 3

Cardozo Journal of Conflict Resolution

No abstract provided.

A Framework For Trauma-Informed Mediation: A Heart And Mind Approach To Conflict Resolution, Michael Saini, Raheena Lalani Dahya, Shely Polak

Cardozo Journal of Conflict Resolution

Unresolved trauma histories can have both short and long-term consequences on children and parents' overall functioning. Using a trauma-informed approach to mediation, we first briefly highlight the impactofadversechildhood experiencesandunresolvedtraumasonadults. We then consider the various vulnerabilities and activations presented within mediation and the fundamental principles of trauma-informed mediation to assist parties in remaining within the "window of tolerance" during the mediation. Trauma-informed mediation is an approach that encourages mediators to be aware of potential trauma activations and to engage in compassionate practices to allow parties to engage within their own individualized "window of tolerance" to resolve disputes. We explore the unique …

Having Fun Is Not As Hard When You Have An Arbitration Clause: The Current Benefits And Possible Changes To The Arbitration Agreements Of Amusement Parks And Recreational Resorts For Consumers, Cynthia Spitzer

Cardozo Journal of Conflict Resolution

This Note will evaluate options that are more favorable for consumers to bring their injury claims against amusement parks and recreational resorts when the route for resolution is limited by an agreement. For instance, the option of an arbitration agreement would be more preferable when faced with only the option of a liability waiver. However, with possible future changes of consumer contracts from the FAIR Act, opt-in provision, or mandatory arbitration imposed on the corporations, the route for resolution can drastically change and improve the realm of possibility for consumers of amusement parks and recreational resorts.

Defining Arbitration, Jill I. Gross

Cardozo Journal of Conflict Resolution

The Federal Arbitration Act (FAA) does not define the term “arbitration,” the very process the one-hundred-year-old statute was enacted to promote. The absence of a definition has led to courts’ inconsistent and unpredictable application of the FAA’s regulatory benefits to agreements to resolve disputes in processes other than traditional, binding arbitration, such as appraisal, evaluation, and mediation. Additionally, with no clear definition as guidance, companies have inserted arbitration clauses into adhesive consumer and employment agreements that require “arbitration” of disputes but designate a process lacking hallmarks of due process. The Supreme Court even justified enforcing class action waivers in arbitration …

Promise And Pitfalls Of Ai In Mass Arbitration, Amy J. Schmitz

Cardozo Journal of Conflict Resolution

Mass arbitration has emerged as a strategic response to arbitration clauses that preclude class actions, allowing large numbers of claimants to bring individual arbitration demands against companies for similar grievances. Unlike class actions where a lead claimant represents others, mass arbitration requires each claimant’s active participation in separate proceedings, creating significant administrative burdens and costs. Following a 2011 Supreme Court ruling that solidified mandatory individual arbitration clauses, consumers and employees increasingly turned to mass arbitration filings. While the American Arbitration Association’s rule updates aimed to improve efficiency through measures like one-time initiation fees and process arbitrators, challenges remain in managing …

How To Beat The Nfl’S Best Defense: Attacking The Mass Arbitration Phenomenon With Class Arbitration, Thomas Riley

Cardozo Journal of Conflict Resolution

During his seventeen-year tenure as Commissioner of the National Football League (NFL), Roger Goodell never testified at trial. However, that changed when a class of plaintiffs sued the NFL for antitrust violations, alleging the League artificially inflated the cost of its viewership package—NFL Sunday Ticket—and thereby harmed consumers. NFL Sunday Ticket is described as a “premium sports package” that allows fans to watch out-of-market games they otherwise would not be able to view in their current market. This David and Goliath moment was a chance to discipline the pricing of one of the most popular television products in the United …

How Can You Turn Adversarial Attorneys Into Quasi-Mediators?, John Lande

Faculty Publications

This article grows out of an educational program sponsored by the St. Louis chapter of the Association of Attorney-Mediators, which functioned as a focus group. It describes mediators’ experiences with attorneys in mediation who were cooperative and adversarial.

It describes things that mediators can do to make adversarial attorneys behave as “quasi-mediators.” Attorneys acting as quasi-mediators help their clients realistically understand the other side’s perspectives. The attorneys also promote their clients’ interests by enlisting the mediators’ help and encouraging the other side to adjust their positions. Attorneys who sometimes act as quasi-mediators tailor their techniques to their clients’ preferences and …