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Appellate Division Confirms the Limited Scope of the Manifest Disregard Doctrine (New York Law Journal)

New York Law Journal, October 11, 2018

Appellate Division Confirms the Limited Scope of the Manifest Disregard Doctrine

“On Sept. 27, 2018, in Daesang v. NutraSweet Co., 2018 NY Slip Op 06331 (1st Dept. Sept. 27, 2018), the Appellate Division, First Department maintained this record, and strongly reaffirmed the very limited application of the manifest disregard doctrine, overturning a May 2017 decision by the New York Supreme Court vacating an international arbitral award on that grounds….This is an important case for arbitration practitioners and institutions in New York. As stated in the amicus curie brief submitted by the International Commercial Disputes Committee (ICDC) of the Association of the Bar of the City of New York, quoted with approval by the Court: ‘Any suggestion that New York courts will review the arbitrator’s factual and legal determinations, as if on appeal, … will discourage parties from choosing New York as the place of arbitrators.’ Daesang v. NutraSweet Co., 2018 NY Slip Op 06331 at 2.”

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