Charles Construction Co. v. Derderian

586 N.E.2d 992 (1992)

From our private database of 46,300+ case briefs, written and edited by humans—never with AI.

Charles Construction Co. v. Derderian

Massachusetts Supreme Judicial Court
586 N.E.2d 992 (1992)

Facts

In October 1984, Derderian (owner) (plaintiff) and Charles Construction Co. (Charles Construction) (defendant) entered a general contractors’ agreement to construct a condominium and parking garage. The agreement contained an arbitration agreement providing for the arbitration of disputes in accordance with the Construction Industry Arbitration Rules of the American Arbitration Association (AAA). Disputes arose between the parties about alleged contractual breaches, leading to an arbitration commencing in September 1987. In February 1990, Charles Construction sought an interim order of security against Derderian. Citing § 34 of the Construction Industry Arbitration Rules, the arbitral tribunal entered an award ordering to furnish a $1,000,000 irrevocable letter of credit to the AAA as security for the payment of any arbitration award that might be entered against him in the arbitration proceeding. Charles Construction filed suit to enforce the interim order, while Derderian countered in a separate suit seeking to vacate the interim order. The superior court vacated the arbitrators’ interim order for security. Charles Construction appealed, seeking enforcement of the interim arbitration award, while Derderian asked that the appellate court affirm the superior court order. On appeal, Derderian further argued that, if Charles Construction was to obtain any relief including an interim order of security while the arbitration is still proceeding, the relief must come from the court.

Rule of Law

Issue

Holding and Reasoning (Wilkins, J.)

What to do next…

  1. Unlock this case brief with a free (no-commitment) trial membership of Quimbee.

    You’ll be in good company: Quimbee is one of the most widely used and trusted sites for law students, serving more than 815,000 law students since 2011. Some law schools even subscribe directly to Quimbee for all their law students.

  2. Learn more about Quimbee’s unique (and proven) approach to achieving great grades at law school.

    Quimbee is a company hell-bent on one thing: helping you get an “A” in every course you take in law school, so you can graduate at the top of your class and get a high-paying law job. We’re not just a study aid for law students; we’re the study aid for law students.

Here's why 815,000 law students have relied on our case briefs:

  • Written by law professors and practitioners, not other law students. 46,300 briefs, keyed to 988 casebooks. Top-notch customer support.
  • The right amount of information, includes the facts, issues, rule of law, holding and reasoning, and any concurrences and dissents.
  • Access in your classes, works on your mobile and tablet. Massive library of related video lessons and high quality multiple-choice questions.
  • Easy to use, uniform format for every case brief. Written in plain English, not in legalese. Our briefs summarize and simplify; they don’t just repeat the court’s language.

Access this case brief for FREE

With a 7-day free trial membership
Here's why 815,000 law students have relied on our case briefs:
  • Reliable - written by law professors and practitioners, not other law students
  • The right length and amount of information - includes the facts, issue, rule of law, holding and reasoning, and any concurrences and dissents
  • Access in your class - works on your mobile and tablet
  • 46,300 briefs - keyed to 988 casebooks
  • Uniform format for every case brief
  • Written in plain English - not in legalese and not just repeating the court's language
  • Massive library of related video lessons - and practice questions
  • Top-notch customer support

Access this case brief for FREE

With a 7-day free trial membership