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ARTICLE · 12 DECEMBER 2019

Who Decides Consolidation Issue? A New Arbitration Panel Or The Old One?

It is pretty well settled under modern arbitration law, including reinsurance arbitrations, that procedural issues like consolidation are questions for the arbitrators and not the courts.

United StatesInsurance

It is pretty well settled under modern arbitration law, including reinsurance arbitrations, that procedural issues like consolidation are questions for the arbitrators and not the courts. But what happens if there are multiple arbitration panels? Which panel decides the consolidation application? And what if one arbitration has been completed and a motion to consolidate is made to join the second arbitration to the first one? Which panel decides the consolidation question? The Third Circuit took a crack at this issue in a recent not precedential decision.

In Pennsylvania National Mutual Casualty Insurance Co. v. New England Reinsurance Corp., No. 19-1805, 2019 U.S. App. LEXIS 36388 (3rd Cir. Dec. 6, 2019) (Not Precedential), cross-petitions to compel arbitration were made. The cedent wanted the consolidation issue heard by a new panel of arbitrators and the reinsurer wanted a previous arbitration panel that heard a previous dispute between the cedent and two other

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