Howsam v. Dean Witter Reynolds, Inc., 537 U.S. 79, 8 (2002)

Page:   Index   Previous  1  2  3  4  5  6  7  8  9  Next

86

HOWSAM v. DEAN WITTER REYNOLDS, INC.

Opinion of the Court

trability." And the strong pro-court presumption as to the parties' likely intent does not apply.

III

Dean Witter argues that, in any event, i. e., even without an antiarbitration presumption, we should interpret the contracts between the parties here as calling for judicial determination of the time limit matter. Howsam's execution of a Uniform Submission Agreement with the NASD in 1997 effectively incorporated the NASD Code into the parties' agreement. Dean Witter notes the Code's time limit rule uses the word "eligible." That word, in Dean Witter's view, indicates the parties' intent for the time limit rule to be resolved by the court prior to arbitration.

We do not see how that is so. For the reasons stated in Part II, supra, parties to an arbitration contract would normally expect a forum-based decisionmaker to decide forum-specific procedural gateway matters. And any temptation here to place special antiarbitration weight on the appearance of the word "eligible" in the NASD Code rule is counterbalanced by a different NASD rule; that rule states that "arbitrators shall be empowered to interpret and determine the applicability of all provisions under this Code." NASD Code § 10324.

Consequently, without the help of a special arbitration-disfavoring presumption, we cannot conclude that the parties intended to have a court, rather than an arbitrator, interpret and apply the NASD time limit rule. And as we held in Part II, supra, that presumption does not apply.

IV

For these reasons, the judgment of the Tenth Circuit is

Reversed.

Justice O'Connor took no part in the consideration or decision of this case.

Page:   Index   Previous  1  2  3  4  5  6  7  8  9  Next

Last modified: October 4, 2007