What is a non-signatory to an arbitration agreement?

A non-signatory to an arbitration agreement is a party that is not formally bound to the arbitration agreement by their signature. This means that even though the agreement exists, the non-signatory is not bound by it and is not required to comply with it. The non-signatory may not have been involved in the making of the agreement and may not even have been aware of the agreement’s existence. District of Columbia law regarding non-signatories to arbitration agreements generally follows the prevailing national standard. Non-signatories may be included in an arbitration agreement if they were involved in the making of the agreement, such as a third-party beneficiary, or if the signatories to the agreement can show that the non-signatory should be bound by the agreement. The U.S. Supreme Court has held that parties may agreement to bind non-signatories to arbitration agreements if the non-signatory was aware of the agreement and their involvement in it. In District of Columbia, non-signatories are also protected by the Federal Arbitration Act. The Act generally allows non-signatories to challenge the enforcement of an arbitration agreement if the signatories of the agreement do not have the authority to bind the non-signatory to the agreement or if the non-signatory claims that they are not subject to arbitration. The Act also protects non-signatories from being held liable for the actions of signatories to the agreement. Overall, non-signatories to an arbitration agreement are generally not bound by it, although they may be included in it if they were involved in the making of the agreement or if they are treated as a third-party beneficiary. In District of Columbia, non-signatories are also protected by the Federal Arbitration Act and may challenge the enforcement of the agreement if the other signatories do not have the authority to bind them to the agreement.

Related FAQs

What are the rules of evidence and procedure in an arbitration hearing?
What is a Model International Commercial Arbitration clause?
Are there any defenses to an arbitration agreement?
Can I appeal an arbitration award?
Is there an appeals process for a motion to disqualify an arbitrator?
What is a motion to compel arbitration?
What is an arbitration award?
Are there any remedies for a breach of the duty of good faith and fair dealing?
How do I submit evidence in an arbitration hearing?
What do I need to know about arbitration before I enter into it?

What is a non-signatory to an arbitration agreement?

Related FAQs

Related Blog Posts