STORY FROM: Reinsurance & Arbitration

Arbitration Clause in Expired Contract Does Not Apply to Claims, 6th Cir. Affirms

CINCINNATI — An arbitration clause contained in a collaboration agreement does not apply to a party’s claims because they are based upon events that occurred years after the agreement expired, a federal appeals court has affirmed.

In a Dec. 1 opinion, the 6th Circuit U.S. Court of Appeals further found that the plaintiff unequivocally and irrevocably waived any claim based on a continuing obligation created by the agreement and, as such, the arbitration clause does not apply.

In 2006, Horizon Tire Inc. began working with Shandong Linglong Tire Co. (“Linglong China”) to develop a new brand of Chinese-made tires for ...

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