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The Morse case is a critical reminder that if a defendant`s interim objections to the application of a compromise clause are upheld and the case is dismissed, the case will not be automatically stayed. On the contrary, as has already been said, the case is dismissed. In these cases, a plaintiff who wishes to challenge the defendant`s interim objections should appeal. Otherwise, the applicant`s subsequent arbitration appeal, if there is no separate agreement with the defendant for the statute of limitations, may be dismissed on the basis of the limitation period. Only three states have passed laws that explicitly apply the statute of limitations to arbitrations. These states are New York (N.Y.C.P.L.R. 7502 (McKinney 2016), Georgia (Ga. Code Ann. No. 9-9-5 (2016)) and Washington (Wash Rev code 7.04A.090(3) (2016) (umversb Besen v. Morgan Stanley DW Inc., 236 P.3d 182 (Wash 2010)). All three states prohibit arbitration if the same application could not be brought to court. In the appeal, the Supreme Court found that, unlike in cases where a court ordered a defendant`s order.

C of the arbitration order, there is an arbitration order, against 42 Pa.C.S.S.A. 7304 (d) there is no rule or other authorization, provided that an interim objection institution order maintains an appeal. In that case, since the applicant had never appealed the first instance order upholding the defendant`s provisional objections, the applicant`s 2009 appeal was not stayed after the court withdrew the appeal and the statute of limitations was maintained. After the treatment and rejection of several related arguments, the Supreme Court upheld the decision of the first instance upholding the sentence. The benefits of applying the limitation period to arbitration are obvious. However, it is often not clear whether a state will apply a time limit for arbitration. Neither the Federal Arbitration Act (FAA) nor the revised Uniform Arbitration Act (RUAA) have a statute of limitations, so the arbitrator must look at state law to enforce a deadline. When developing the compromise clause or preparing for arbitration, there are three sources to verify whether a limitation period applies: The UCC provides an “action” after four years.

It defines the act of Articles 1-201 (b) (1) as a judicial procedure and “any other procedure in which rights are defined.” There is a strong argument that arbitration is a “rights-defining procedure,” which allows the limitation rules to be applied. No court discusses the requirement of the Single Code of Trade in arbitration proceedings. However, if the law is not clear in the jurisdiction, it may be advantageous to invoke the UCC`s four-year requirement if your dispute is settled by the UCC.