ZF Automotive: Predictable Outcome, Lackluster Reasoning
Whatever one may think of it, the Court’s decision in ZF Automotive US, Inc. v. Luxshare, Ltd. is not a surprise. It reflects the forceful intervention of the U.S. Government and aligns well with the drift of the Court’s conduct of oral argument in the case. Even the constituency most apt to want to use…
Continue ReadingSupreme Court Holds in ZF Automotive That Section 1782 Does Not Apply to International Arbitration
The Supreme Court held today that Section 1782 does not apply to international arbitration—neither international commercial arbitration nor investor-state arbitration. Writing for a unanimous Court, Justice Barrett held that only governmental or intergovernmental adjudicative bodies fall within the scope of the provision. Section 1782 authorizes federal district courts to order persons residing or found within…
Continue ReadingOral Argument in ZF Automotive Generates More Confusion Than Clarity on the Availability of U.S. Discovery for Use in International Arbitration
Last week, the Supreme Court heard oral arguments in two consolidated cases asking whether U.S.-style discovery under 28 U.S.C. § 1782 is available for use in, respectively, international commercial arbitration and investor-state arbitration. These questions stem from a statutory ambiguity that has caused widespread uncertainty in international arbitration, and it may not be resolvable based on statutory interpretation or congressional intent.
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