Judge Confirms Award, Finds Defendant Waived Fraud Defense

OAKLAND, Calif. - A California federal judge refused to vacate a $412,962 arbitration award on the basis of fraud, ruling that the defendant waived its fraud defense by participating in the arbitration. Activant Solutions Inc. v. Notoco Industries LLC, No. 11-2436 (N.D. Calif.).

On Oct. 26, Judge Saundra B. Armstrong of the U.S. District Court for the Northern District of California further ruled that the defendant waived its prejudice defense by failing to raise it in the arbitration.

Activant Solutions Inc. and Notoco Industries LLC entered into a contract under which Notoco agreed to purchase an Activant Eclipse enterprise resource …