February 15, 2019
Eric Johnson and Tom Hudson in RV News: Broad Scope of Arbitration Agreement Benefits Dealer
In the February 2019 issue of RV News, Eric Johnson and Tom Hudson address the importance and implications of arbitration clauses in dealer contracts. In the case of Countyline Auto Center, Inc. v. Kulinsky, the Court of Appeal of Florida reversed the trial court's ruling that the dealer's arbitration clause did not cover a defamation claim. The appellate court noted that the arbitration language expressly contemplated tort actions.
If your business does not employ arbitration agreements in its contracts with customers, Eric and Tom suggest you may want to consider doing so. When properly and broadly drafted, such an agreement can protect the dealership against a wide range of claims.
Tom Hudson is a founding partner of Hudson Cook, now Of Counsel to the firm, and has practiced consumer financial services law since 1973. He has focused his practice on matters relating to vehicle financing and leasing. The newest edition of Tom's CARLAW® F&I Legal Desk Book (8th edition) - The Answer Book for Finance and Insurance Professionals, has just been released.
Eric Johnson is a partner in the firm's Oklahoma office. He assists national and state banks, savings associations, credit unions, mortgage bankers, other licensed lenders, motor vehicles dealers and automotive finance companies in the development and maintenance of nationwide consumer mortgage and automobile finance programs; online motor vehicle sales programs; litigation funding programs; and electronic payment programs.
Click here to read the article on pages 86-87.