U.S. Supreme Court,
Alternative Dispute Resolution
Jun. 28, 2023
Coinbase is a win for defendants seeking to compel arbitration
Now that a stay of proceedings is mandatory upon the filing of an interlocutory appeal of a decision denying a motion to compel arbitration, defendants retain the benefits of arbitration during the appeal. Defendants will be spared from engaging in costly discovery and avoid being confronted with the "blackmail settlements" that concerned the majority in Coinbase.
The Supreme Court's ruling in Coinbase v. Bielski delivered another win for defendants in the high court's arbitration jurisprudence. In a 5-4 ruling, the Court held that an interlocutory appeal of a district court's denial of a motion to compel arbitration automatically stays proceedings in the district court pending resolution of the appeal. This ruling resolved a circuit split, and federal courts are now required to stay discovery upon t...
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