The US Supreme Court unanimously ruled that federal courts must stay, not dismiss, arbitrable disputes under the Federal Arbitration Act.
The US Supreme Court has ruled unanimously that federal courts must stay, not dismiss, lawsuits involving arbitrable disputes. The ruling, based on Section 3 of the Federal Arbitration Act, states that courts lack discretion to dismiss such actions. The decision aims to ensure that parties can proceed with arbitration when requested, with the court's obligation to stay the proceedings considered "impervious to judicial discretion."
May 16, 2024
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