U.S. Supreme Court Decision on the Impartiality and Independence of Arbitrators: Commonwealth Coatings Corp. V. Continental Cas. Co.

Development summary

A subcontractor sued the general contractor’s sureties to recover payment for painting work. In the arbitration, the third arbitrator was a long-standing engineering consultant to the general contractor, and the subcontractor challenged the award on the ground that this relationship had not been disclosed.

The decision addresses arbitrators’ duty to disclose relationships that could undermine their impartiality. It therefore treats the undisclosed professional relationship between the arbitrator and one of the parties as the central legal issue concerning the arbitrator’s independence and impartiality.