Appellate Court of Illinois

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Casablanca Trax, Inc. v. Trax Records, Inc., 1-06-2194

Denial of a motion for arbitration arising from a claim for breach of contract brought under a joint venture agreement, which included an arbitration clause, and a separate loan agreement, which did not have an arbitration clause, that secured the promises made in the first contract is reversed and remanded where: 1) plaintiff made the monetary advances at issue pursuant to the JVA and the arbitrator must decide on issues related to repayment; 2) because the loan agreement interlocks with the JVA judicial economy favors a stay of the proceedings on any claims related to the loan agreement pending the arbitrator's decision; and 3) the trial court should have stayed the proceedings on the sale of defendant's assets pending arbitration.

Appellate Information

  • Decided 06/06/2008
  • Published 06/11/2008


  • Justice McNULTY delivered the opinion of the court:


  • Appellate Court of Illinois


  • For Appellant:
  • Duane Morris, Chicago (John T. Schriver and Richard P. Darke), for appellant.

  • For Appellees:
  • Golan & Christie LLP, Chicago (Barbara L. Yong and Caren A. Lederer), for appellee.