Mr. Roux assisted in the representation of Ad-Med, Inc. in a week long arbitration involving a corporate dispute over the operation of a New Orleans based medical clinic. At the conclusion of the arbitration, the three arbitrators awarded Mr. Roux’s client more than $850,000.00. Eventually, Ad-Med, Inc. moved for confirmation of the arbitration award. The Civil District Court confirmed the award over the defendant’s objection. On appeal, the Fourth Circuit affirmed the Trial Court’s judgment holding that the award was not rendered invalid by the fact that the arbitrator selected by the plaintiff had an undisclosed, ongoing attorney-client relationship with the president and sole shareholder of the plaintiff. The Court concluded that arbitrators selected by parties are not neutral arbitrators and are, therefore, not subject to the American Arbitration Association’s disclosure and bias laws.
Ad-Med, Inc. v. Bruce J. Iteld, M.D. (APMC), 1998-1414 (La. App. 4th Cir. 2/3/99), 728 So.2d 556