Econo-Car International, Inc. v. Antilles Car Rentals, Inc.
United States Court of Appeals for the Third Circuit
499 F.2d 1391 (1974)
- Written by Mary Katherine Cunningham, JD
Facts
Econo-Car International, Inc. (Econo-Car) (plaintiff) and Antilles Car Rentals, Inc. (Antilles Car) (defendant) entered a franchise agreement. The franchise agreement contained paragraph 15, providing parties would submit disputes to arbitration in New York City under the Rules of the American Arbitration Association. A dispute arose between the parties, and Econo-Car informed Antilles Car of its desire to submit the matter to arbitration. Antilles Car refused to submit to arbitration, causing Econo-Car to file a petition in the district court for the Virgin Islands to compel arbitration. The district court ordered Antilles Car to enter arbitration in New York City under the terms of the franchise agreement. Antilles Car appealed to the Third Circuit, arguing that under Section 4 of the Federal Arbitration Act (FAA), the district court should not compel arbitration in New York City.
Rule of Law
Issue
Holding and Reasoning (Adams, J.)
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