The U.S. Supreme Court recently asked the Solicitor General to file a brief on behalf of the United States expressing its views on whether the Convention on the Recognition and Enforcement of Foreign Arbitral Awards (the "New York Convention") and the federal legislation that enforces it, the Federal Arbitration Act ("FAA"), are subject to the reverse preemption provision of the McCarran-Ferguson Act. At issue in the case is the applicability of a Louisiana state law that deems arbitration agreements in insurance contracts to be unenforceable. As previously discussed, when the U.S. Court of Appeals for the Fifth Circuit reversed a Louisiana district court ruling and held that, under the McCarran-Ferguson Act, the Louisiana state law does not "reverse preempt" the provisions of the New York Convention mandating arbitration of reinsurance agreements that fall within that statute. The plaintiff in the lawsuit, the Louisiana Safety Association of Timbermen - Self Insured Fund, has filed a writ of certiorari with the U.S. Supreme Court asking it to address the Fifth Circuit's decision and decide whether the portion of the FAA that implements the New York Convention is subject to the reverse-preemption provisions of the McCarran-Ferguson Act.
Register Now As you are not an existing subscriber please register for your free daily legal newsfeed service.Register
If you have any questions about the service please contact firstname.lastname@example.org or call Lexology Customer Services on +44 20 7234 0606.
United States Supreme Court asks for federal government's opinion on applicability of the McCarran-Ferguson Act to the New York Convention
- Edwards Wildman Palmer LLP
- Brian Green, Victoria Anderson, Jeanne Kohler and M Machua Millett
- July 22 2010
If you are interested in submitting an article to Lexology, please contact Andrew Teague at email@example.com.
Director, Legal Services
Cisco Systems, Inc