Non-Signatory May Compel Arbitration by Signatory of Arbitration Agreement

 In Wilcox & Fetzer, Ltd. v. Corbett & Wilcox, read opinion  here , the Chancery Court was presented with the following somewhat unusual question:

 ...may Corbett & Wilcox compel Plaintiff Wilcox & Fetzer, Ltd. to arbitrate pursuant to an arbitration clause contained in an agreement to which the former is not a signatory.

Answer: Yes.

See also other recent case summarized on blog  here, that held that non-signatories can compel signatories to an arbitration agreement to arbitrate. One basis for such a finding is equitable estoppel.

 

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Delaware Corporate and Commercial Litigation Blog - December 2, 2007 8:12 PM
In Wilcox & Fetzer v. EVC, Inc., et al., 2007 WL 4179314 (Del. Ch., Nov. 16, 2007), read opinion here, the Chancery Court enforced a Consent Decree that embodied the terms of a settlement agreement that resolved disputes regarding the...
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