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ARTICLE · 11 AUGUST 2023

Mandatory Stay For Arbitrability Appeals, Supreme Court Rules

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In a victory for parties seeking to compel arbitration, the U.S. Supreme Court held that a district court must stay the proceedings when a party seeks interlocutory appeal...

United StatesLitigation, Mediation & Arbitration
Manatt, Phelps & Phillips, LLP
Manatt, Phelps & Phillips, LLP

In a victory for parties seeking to compel arbitration, the U.S. Supreme Court held that a district court must stay the proceedings when a party seeks interlocutory appeal of an order denying a motion to compel arbitration.

Abraham Bielski filed a putative class action against online currency platform Coinbase, Inc. after a scammer emptied his account of more than $31,000.

Coinbase responded with a motion to compel arbitration pursuant to the agreement users sign for its online platform, which contains an arbitration provision.

A California federal court denied the motion. Coinbase filed an interlocutory appeal to the Ninth Circuit Court of Appeals and also moved to stay the district court proceedings pending resolution of the arbitrability issue on appeal.

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