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Defendant Can Waive Its Right To Force Arbitration Through Its Conduct, Including Delay.

Defendant Can Waive Its Right To Force Arbitration Through Its Conduct, Including Delay.

September 11, 2019 by Mark H. Wagner

In Spracher v. Paul M. Zagaris, Inc., the Court addressed whether a party waived its right to compel arbitration.  The Court noted that unreasonable delay in seeking arbitration may, standing alone, constitute a waiver of a right to arbitrate. It noted that a party’s actions are inconsistent with a right to arbitrate where the party has filed multiple rounds of demurrers, propounded extensive discovery, filed a lengthy and complicated summary judgment motion, and litigated the case in court for nearly two years. Thus, a plaintiff must analyze the facts of each case before asserting defendants waived their rights to arbitrate.

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