Attached find a recent decision from the Allegheny County,
Pennsylvania, Court of Common Pleas involving a Manor Care arbitration
agreement. The Court refused to hear arguments that
arbitration agreements are inherently void as against public policy.
Notwithstanding, the Court did not agree with several of the limiting
provisions of the ADR agreement, namely very restrictive
discovery and a $250,000 cap on damages. The Court indicated that
without these two provisions, they would approve the agreement.
Therefore, the Court, citing that the agreement also indicated the
parties would follow the Pennsylvania Rules of Civil Procedure which
therefore would provide a valid structure within which to follow,
decided it could strike these limiting factors and approve the
remainder of the ADR without the need to invalidate the entire
document. This is not an appellate
decision thus it may likely be appealed.