Litigation

Arbitration Compelled for Claims Under Arkansas Deceptive Trade Practices Act

By H. William Allen et al.

The Arkansas Court of Appeals compelled arbitration of claims that sounded in contract in CEI Engineering Associates, Inc. v. Elder Construction Co., No. 08-601 (4/8/09).

Elder hired CEI to provide engineering services on two projects, and the contract contained an arbitration clause. After both projects encountered significant problems, Elder filed suit alleging 8 counts, including violation of the Arkansas Deceptive Trade Practices Act ("ADTPA"). The trial court held the ADTPA claims sounded in tort and denied the request to compel arbitration.

On appeal, the court held that the ADTPA claims were complaints about how CEI performed the contract. These claims sounded in contract, not tort, and the court reversed to compel arbitration on the ADTPA claims.

Full post as published by Arkansas Business Litigation Blog on April 09, 2009 (boomark / email).