United States Eleventh Circuit

In a lawsuit arising out of an alleged hostile takeover attempt of a publicly traded company, dismissal of complaint is reversed and remanded in part and affirmed in part where: 1) the district court erred in dismissing the claim against co-defendant for insufficient service of process when co-defendant had already waived that defense; 2) the district court's dismissal of one count is affirmed as plaintiff did not allege that defendants were beneficial owners of plaintiff stock, the other defendants were not part of a section 13(d)(3) group required to file a Schedule 13D form; 3) the fraud claim was not within the scope of the arbitration clause because the conduct of the South African defendants giving rise to the claim was not "reasonably foreseeable" in 1994 when the licensing agreement and arbitration provision were executed, and thus the dispute did not "arise" out of the agreement; and 4) even in light of the general federal policy in favor of private commercial dispute resolution, the parties' licensing agreement arbitration clause did not cover not cover the fraud claim.

Appellate Information

• Decided 12/29/2008
• Published 12/29/2008

Judges

Court

• United States Eleventh Circuit

Counsel