In Zaremski v. Am. Arbitration Ass’n, No. 11C5221 (N.D. Ill. May 9, 2012) Plaintiff Miles J. Zaremski worked as an arbitrator on a series of arbitrations pursuant to an agreement with Defendant American Arbitration Association (“AAA”). When the parties to the arbitrations failed to pay Zaremski’s monthly invoices, Zaremski refused to proceed with the arbitrations. AAA removed him as an arbitrator, and Zaremski sued AAA, seeking to recover the unpaid balance of his invoices as well as the fees he lost due to his allegedly wrongful removal. AAA filed a motion to dismiss pursuant to the Federal Rule of Civil Procedure 12(b)(6).
Zaremski’s Complaint purports to state seven Counts: quasi-contract claims (Counts II, III, and IV); fraud claim (Count I); third-party beneficiary claim (Count V); fiduciary duty claim (Count VI); and improper removal (Count VII).
The trial court: (i) denied AAA’s motion to dismiss as to the fiduciary duty claim and the improper removal claim; (ii) granted AAA’s motion to dismiss as to the fraud and the third-party beneficiary claims (both dismissed without prejudice); and (iii) dismissed the quasi-contract claims with prejudice.
Stay tuned…
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