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Contracts Keyed to Marshall
Itoh & Co. (America) Inc. v. The Jordan International Co.
Citation:
552 F.2d 1228 (1977)Facts
One of the terms on the reverse side of Jordan’s form was a broad provision for arbitration. Itoh neither expressly assented nor objected to the additional arbitration term in Jordan’s form until the instant litigation. Itoh also entered into a contract to sell the steel coils that it purchased from Jordan to Riverview Steel Corporation, Inc. The contract between Itoh and Riverview contained an arbitration term which provided in pertinent part: “Any and all controversies arising out of or relating to this contract, or any modification, breach or cancellation thereof, except as to quality, shall be settled by arbitration.” After the steel had been delivered by Jordan and paid for by Itoh, Riverview advised Itoh that the steel coils were defective and for these reasons, Riverview refused to pay Itoh for the steel. Consequently, Itoh brought the instant suit against Riverview and Jordan. Jordan then filed a motion in the district court requesting a stay of the proceedings pending arbitration under Section 3 of the Federal Arbitration Act.
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