Case Law Summaries

P & G Carpet & Tile v. Engineering Construction Corp.

• Opinion Date: July 9, 2001
• Business Law
• E-Mail

ARBITRATION; CONTRACTS—Where the contractual requirement to arbitrate is raised in an answer, that provision can be enforced all the way up to trial even after all discovery has taken place and multiple trial notices have been issued.

A carpet supplier instituted suit on a contract claim rather than proceeding to arbitration pursuant to an arbitration clause in its agreement with a contractor. The contractor raised the issue in its answer to the defense throughout the proceedings, but the matter proceeded for 18 months with full discovery having been taken and five trial notices having been issued. Notwithstanding the procedural history, the lower court concluded that the arbitration clause should be enforced. The Appellate Division upheld that ruling even though the parties proceeded without a call for arbitration.

Copyright ©2003. Meislik & Meislik. All rights reserved.