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US Supreme Court declines certiorari, leaving Mississippi ruling that AAA Construction Industry Arbitration Rules delegate arbitrability to arbitrator in hospital construction subcontract dispute

Published on: 21 May 2024

Published by a Law360 reporter

Legal News

Article summary

By denying certiorari, the justices have ultimately made final and binding the Mississippi Supreme Court’s ruling from last year, which dismissed McInnis Electric Co’s contention that a judge, rather than an arbitrator, should decide whether its project-related claims are captured by an arbitration provision. McInnis, which lodged its certiorari request last month, had earlier entered into a subcontract on the vast scheme with the prime contractor, Brasfield & Gorrie LLC, and their agreement required any disputes to be resolved through arbitration under the American Arbitration Association’s Construction Industry Arbitration Rules. A conflict erupted in May 2020 when Brasfield & Gorrie ended the subcontract for an alleged breach. After that company moved to formally commence arbitration, McInnis brought this action, asserting the quarrel embraced matters outside the arbitration clause’s reach, including being compelled to carry on works despite the continuing coronavirus (COVID-19) pandemic and around 40% of its staff testing positive for the virus...

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