New York Court of Appeals
In the Matter of the Arbitration between Helen Whiting, Inc., and Trojan Textile Corp.
July 14, 1954307 N.Y. 360
Summary
The New York Court of Appeals affirmed the order compelling arbitration, holding that a binding purchase agreement for the three lots existed, that the partial deliveries satisfied the Statute of Frauds, and that the arbitration clauses were enforceable even though two of the contracts were unsigned. The court reasoned that retention of the written contracts and the signing of one demonstrated agreement to arbitrate, and that CPL §1449 requires only a written provision for future arbitration disputes. Justice Froessel dissented, arguing that no arbitration discussion occurred at the time of the oral agreement and that retention of unsigned contracts does not create an arbitration agreement.