When Worlds Collide: The Enforceability of Arbitration Agreements in Bankruptcy
While most of the time arbitration is a feasible option for resolving disputes between the franchisor and the franchisee, what happens in cases of bankruptcy? Mark Salzberg, a partner in Foley’s Washington, D.C. office and head of the firm’s Business Reorganization Practice in the mid-Atlantic region, and Gary Zinkgraf, a partner in the firm’s Washington, D.C. office, co-authored the article, “When Worlds Collide: The Enforceability of Arbitration Agreements in Bankruptcy,” which was published in the Summer 2007 issue of the Franchise Law Journal. Salzberg and Zinkgraf address the issues that arise from the collision of the Bankruptcy Code and the Federal Arbitration Act. Although courts decide this on a case-by-case basis, the authors suggest strategies based upon case law for maximizing the probability that the arbitration clause will be enforced in bankruptcy cases.