La. Court Denies Manufacturer's Motion To Compel Arbitration

LAFAYETTE, La. - A Louisiana appellate court has refused to compel the buyer of a manufactured home to arbitrate construction defect issues with the seller, ruling that the dispute is over the arbitration agreement rather than a sales contract and must be resolved by a court in the first instance. Easterling v. Royal Manufactured Housing LLC, et al., No. 07-136, consolidated with 06-1084, 07-192 (La. Ct. App., 3rd Cir.).

In rejecting the appeal by Royal Manufactured Housing, Louisiana's 3rd Circuit Court of Appeals said that while it acknowledged the "presumption of arbitrability" in state and federal law, the trial court …