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ARE ARBITRATION CLAUSES IN ENGAGEMENT LETTERS BINDING WHEN THE CLIENT DOESN’T SIGN AND THE PARTY SUING IS DOING SO DERIVATIVELY?
WHETHER A COURT SHOULD MANDATE ARBITRATION PURSUANT TO AN AGREEMENT WHEN THE MOVANT CHALLENGES THE FORMATION OF THAT AGREEMENT
Advice: Do not walk into a trap, especially one of your own making. The Maxwell Family Partnership walked into a trap when it sought to compel arbitration of a dispute involving an asserted partnership agreement with the Kents, while at the same time vigorously arguing that the asserted partnership agreement containing the arbitration clause was never formed because of lack of consideration.1 Accordingly, the appellate court affirmed the trial court’s decision in denying the attorney’s motion to compel arbitration.