[RPPTL LandTen] Arbitration Clauses in Commercial Lease?

[Warren P. Gammill]

George,

 

I would avoid arbitration at all cost on all matters:

 

1.       The arbitrator (or the three arbitrators) can be totally
"arbitrary", capricious and dead wrong in his decision, and you have no
recourse and no appeal.  

 

2.       The arbitrator need not follow the rules of evidence.  He can allow
in, and be influenced by, all sorts of irrelevant, prejudicial testimony and
other evidence.  With no appeal.

 

3.       The arbitrator can disregard the law and even the clear facts in
reaching his decision.  With no appeal.

 

4.       The judge and jury are free, while the litigants must pay at an
hourly rate for all the time that the arbitrator or three arbitrators spend
on the case, which can be very considerable.  

 

It is a major mistake for the statutes and the Florida courts to be
favorably disposed toward arbitration for dispute resolution, as if it were
an equivalent substitute for the civil court system.  It is a crapshoot.

 

Warren P. Gammill, Esq.

Warren Gammill & Associates

Suite 1050, Courthouse Tower

44 West Flagler Street

Miami, Florida 33130

Telephone: (305) 579-0000

Telecopier: (305) 371-6927

Gammill at MiamiLawOffice.com

www.GammillLaw.com

 

 

 

From: landten-bounces at lists.flabarrpptl.org
[mailto:landten-bounces at lists.flabarrpptl.org] On Behalf Of George Pincus
Sent: Thursday, January 20, 2011 11:59 AM
To: 'RPPTL Landlord Tenant Committee'
Subject: [RPPTL LandTen] Arbitration Clauses in Commercial Lease?

 

A prospective client (out of state commercial office building owner) has
asked me to review and comment on the form of lease used for its Florida
buildings. 

 

The Lease has a pretty normal looking default and remedies clause.  It also
has an arbitration clause, saying that disputes are to be resolved through
AAA arbitration.  

 

What do you guys this about this (I'm not disclosing my personal bias, but
those of you that know me probably know my take on this)?

 

Thanks for your comments. 

 

 

George A. Pincus, Esq.

Stearns Weaver Miller Weissler

  Alhadeff & Sitterson, P.A.

New River Center, Suite 2100

200 East Las Olas Boulevard

Ft. Lauderdale, FL 33301

Telephone: 954-766-9705

Facsimile:    954-766-9719

E-mail: gpincus at stearnsweaver.com <mailto:gpincus at swmwas.com> 

www.stearnsweaver.com

 

 

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