The U.S. Supreme Court’s justices seemed skeptical about a proposed rule that would often deprive federal courts of jurisdiction over certain arbitration awards, as it weighed a circuit split over when such courts have jurisdiction to confirm or vacate an award under the Federal Arbitration Act, Tuesday.
Depending on how the court rules in Badgerow v. Walters,, the decision could have significant implications for state-court involvement in resolving disputes over FAA awards.
The question presented revolves around whether federal courts have subject matter jurisdiction over actions brought under Sections 9 and 10 of the FAA “where the only basis ...