La. Court Declines to Enforce Arbitration Clause in Home Sales Contract

LAKE CHARLES, La. - A Louisiana appellate court has ruled that a manufactured home seller cannot enforce an arbitration clause unilaterally inserted in closing documents by the seller after the parties concluded negotiations. Coleman v. Jim Walter Homes Inc., No. 07-1574 (La. Ct. App., 3rd Cir.).

The 3rd Circuit Court of Appeal said May 7 in ruling for homebuyers Shaun and Lisa Coleman that "[t]his court has consistently refused to enforce an arbitration agreement, stripping the unsuspecting buyer of his right of access to the courts for redress of a grievance."

The Colemans, who owned their own lot, purchased a …