{"id":339,"date":"2017-09-13T13:40:35","date_gmt":"2017-09-13T17:40:35","guid":{"rendered":"https:\/\/ipmanagement.harnessip.com\/?p=339"},"modified":"2017-10-02T18:36:42","modified_gmt":"2017-10-02T22:36:42","slug":"non-parties-to-an-arbitration-agreement-are-generally-not-bound-to-arbitrate","status":"publish","type":"post","link":"https:\/\/ipmanagement.harnessip.com\/?p=339","title":{"rendered":"Non-parties to an Arbitration Agreement are Generally Not Bound to Arbitrate"},"content":{"rendered":"<p>In\u00a0Waymo LLC\u00a0v.\u00a0Uber Technologies, Inc., [2017-2130] (September 13, 2017), the Federal Circuit affirmed the district court decision that Uber Technologies,\u00a0Ottomotto LLC, and\u00a0Otto Trucking LLC could not compel Way merely because they Waymo was arbitrating a related dispute with\u00a0Levandowski, who did have an arbitration agreement with Waymo.<\/p>\n<p>The Federal Circuit said that\u00a0Contract law principles hold that non-parties to a contract<br \/>\nare generally not bound by the contract, and a contract\u00a0to arbitrate is not an exception. A party\u00a0cannot be required to submit to arbitration any dispute\u00a0which it has not agreed so to submit.\u00a0 The Federal Circuit noted that the California courts have, in a few situations,\u00a0compelled arbitration against an entity that was\u00a0not a party to an arbitration agreement.\u00a0The Federal Circuit said that the issue was whether the circumstances\u00a0are such that Waymo can be compelled to arbitrate on\u00a0equitable grounds, in Waymo\u2019s suit against Uber, Ottomotto,\u00a0and Otto Trucking, where there is no agreement\u00a0to arbitrate.\u00a0 The district court concluded that it could not, noting that Waymo had disclaimed reliance on the contracts with the employee, and\u00a0Waymo need not <em>rely<\/em> on the terms of its written agreements\u00a0merely because it <em>makes reference<\/em> to such agreements.<\/p>\n<p>The Federal Circuit said that while equitable doctrines permit\u00a0departure from the principle that non-parties cannot be compelled to arbitrate, when necessary to avoid<br \/>\ninequity, California precedent guides that unless the\u00a0issues of the complaint are intimately intertwined with\u00a0the non-party agreement containing an arbitration clause,<br \/>\ncompulsion to arbitrate is inappropriate.\u00a0 The Federal Circuit concluded that the district court correctly concluded that arbitration\u00a0should not be compelled.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>In\u00a0Waymo LLC\u00a0v.\u00a0Uber Technologies, Inc., [2017-2130] (September 13, 2017), the Federal Circuit affirmed the district court decision that Uber Technologies,\u00a0Ottomotto LLC, and\u00a0Otto Trucking LLC could not compel Way merely because they Waymo was arbitrating a related dispute with\u00a0Levandowski, who did have &hellip; <a href=\"https:\/\/ipmanagement.harnessip.com\/?p=339\">Continue reading <span class=\"meta-nav\">&rarr;<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[22],"tags":[],"class_list":["post-339","post","type-post","status-publish","format-standard","hentry","category-arbitration"],"_links":{"self":[{"href":"https:\/\/ipmanagement.harnessip.com\/index.php?rest_route=\/wp\/v2\/posts\/339","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ipmanagement.harnessip.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ipmanagement.harnessip.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ipmanagement.harnessip.com\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/ipmanagement.harnessip.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=339"}],"version-history":[{"count":3,"href":"https:\/\/ipmanagement.harnessip.com\/index.php?rest_route=\/wp\/v2\/posts\/339\/revisions"}],"predecessor-version":[{"id":342,"href":"https:\/\/ipmanagement.harnessip.com\/index.php?rest_route=\/wp\/v2\/posts\/339\/revisions\/342"}],"wp:attachment":[{"href":"https:\/\/ipmanagement.harnessip.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=339"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ipmanagement.harnessip.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=339"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ipmanagement.harnessip.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=339"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}