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On February 7, Jenner & Block achieved a major victory for Century Development Group, L.P., when a Cook County Circuit Court judge granted the Firm’s motion to reconsider and then permanently stayed an arbitration proceeding against Century Development. The court’s decision represents the culmination of a six-month fight both before the arbitration panel and the court.
At issue was whether a court of law or an arbitration panel has jurisdiction to decide whether there is an agreement to arbitrate and whether a non-signatory to an arbitration agreement can be compelled to arbitrate because it implicitly assumed the agreement to arbitrate that was in a contract to which it was not a party.
The panel held that it had jurisdiction but was later overruled when the court granted our emergency motion for a temporary stay of the arbitration proceedings. The Firm was ultimately successful in convincing the court that Illinois law did not allow it to extend the arbitration agreement by implication and that principles of successor liability did not apply.
Jenner & Block’s efforts were led by Partner Christopher D. Liguori and Associate Jennifer B. Salvatore and were assisted by Partners Barry Levenstam and Richard T. Franch.