V&E logo
 
Home > Practices > Litigation > Arbitration and ADR

Arbitration and ADR

Overview | Arbitration | Mediation

Overview
Vinson & Elkins' Arbitration and Alternative Dispute Resolution (ADR) practice group includes lawyers throughout the firm who serve as both advocates and third-party neutrals in claim and litigation matters. The group also provides advice and counseling to clients and other firm lawyers with respect to negotiating strategies, effective and efficient uses of ADR, the selection of third-party neutrals, the consideration of appropriate ADR procedures for particular controversies, and the drafting of private ADR clauses and agreements.

A substantial majority of our trial lawyers have experience in representing clients in mediation. Many of our lawyers have extensive experience as arbitration counsel, representing clients who have adopted formal dispute resolution programs or individual agreements that provide for arbitration of disputes, as well as clients in a unionized setting under collective bargaining agreements. In addition, numerous V&E lawyers are formally trained as third-party neutrals.

Vinson & Elkins lawyers have provided arbitration, mediation, and other ADR services in all manner of disputes, including intellectual property, tax, securities, antitrust, bad faith insurance, labor and employment, government contracts, construction, bankruptcy, toxic waste disposal, pipeline explosion, product liability, business fraud, medical malpractice, and various other personal injury and commercial matters.

Arbitration
V&E lawyers have comprehensive experience in complex commercial disputes. As parties have increasingly turned to private dispute resolution through arbitration, V&E has obtained outstanding results for clients in both domestic and international arbitrations under leading institutional rules. Our lawyers also advise on the drafting of arbitration and dispute resolution mechanisms and have been selected to serve as arbitrators in a wide variety of commercial disputes.

Arbitration of Domestic Commercial and Personal Injury Disputes
V&E has represented clients in U.S. arbitrations involving United States parties in both ad hoc arbitrations and arbitrations under leading institutional rules. The following matters are illustrative of the firm's experience in domestic arbitration matters involving commercial and personal injury disputes. Results obtained depend on the facts of each case.

Arbitration Advocacy
  • Represented one of the world's largest chemical companies in an arbitration, establishing the division of liability between V&E's client and another large chemical company for almost $1 billion, paid to settle a nationwide consumer class action. Each company alleged that a defect in the other company's raw material caused failures in the consumer products. Members of the V&E team worked with experts in engineering, chemistry, accounting, and polymer science to develop testimony on topics including the chemical and mechanical properties of certain resins, the chemical and mechanical properties of the products made from the resins, and the suitability of the resins for use in the consumer products. The arbitrators heard testimony from 96 witnesses, and the hearing lasted approximately one year. The decision of the arbitrators was favorable to our client.
  • Defended an arbitration involving a dispute over a right of first refusal to acquire certain ethylene and chlorine manufacturing facilities and other related properties in Kentucky. The claimant in the arbitration sought damages exceeding $300 million from our client. After a more than three week evidentiary hearing, the claimant recovered nothing. The mandamus order compelling arbitration over the claimant's objection is reported at The B.F. Goodrich Company v. McCorkle, 865 S.W.2d 618 (Tex. App.–Houston [14th Dist.] 1993, no writ).
  • Defended a securities firm in two separate NASD arbitrations in Detroit and Kansas City in which the claimants sought combined recovery of in excess of $10 million, based on alleged misstatements and omissions in connection with the sale of collateralized mortgage obligations that the claimants purchased from our client. In the Kansas City arbitration, the arbitrators denied all recovery. In the Detroit arbitration, the arbitrators awarded the claimant only $100,000, which was less than half of the lawyer's fees that the claimant had incurred.
  • Defended a major brokerage firm in a NASD arbitration in which the complainant sought damages in excess of $2 million for churning and unsuitability. After a week-long hearing, the arbitrators rejected all of the claimant's claims.
  • Prosecuted an AAA-administered arbitration in a dispute involving theft of trade secrets and the enforcement of a covenant not to compete. After a three-day arbitration hearing on the issue of preliminary relief, the panel in large part adopted our client’s position and enjoined the respondent from operating his business in violation of the covenant not to compete and from using or disclosing trade secrets of our client.
  • Defended an AAA-administered arbitration in which an investment banking firm asserted claims arising out of our client's efforts to consummate a capital partner transaction involving its San Antonio operations. The arbitrator rejected all of the claims.
  • Defended a major oil and gas company in an AAA-administered arbitration involving claims in excess of $18 million arising out of a contract for gas storage services. After hearing two weeks of testimony in Des Moines and Houston, the arbitrator awarded less than 10% of the amount sought by the claimant.
Service as Arbitrator
V&E lawyers have served as arbitrators in:
  • Various securities disputes involving suitability of investments, churning, and unauthorized trading;
  • Employment termination disputes involving termination of a law firm partner;
  • Personal injury/product liability litigation brought by a man who lost his leg on an allegedly defective motorcycle;
  • A breach of contract dispute between two oil companies fighting over land rights;
  • A dispute between several insurance companies over allocation of a multi-million dollar personal injury settlement;
  • V&E lawyers have been named to the AAA Commercial, Complex, or Energy Panels of Arbitrators and to CPR's Environmental, Employment, and Banking/Financial Services Panels of Distinguished Neutrals; additionally, several are certified arbitrators by the National Association of Securities Dealers (NASD).
International Arbitration
V&E has represented clients before the Iran-U.S. claims tribunal in The Hague, the ICC in Paris, the American Arbitration Association Center (International Rules), the Singapore International Arbitration Centre, the Arbitration Institute of the Stockholm Chamber of Commerce, and the International Center for Dispute Resolution. The firm has represented clients in ad hoc arbitrations in Europe and in the U.S. under the rules of various arbitral institutions. V&E's lawyers have advised clients regarding arbitrations in South America, Stockholm, and Russia.

V&E has a separate practice group specializing in International Dispute Resolution, with members in most of the firm's US and International Offices. For more details on this group, click here. The Chair of our International Dispute Resolution Practice Group serves as Committee Chair of the International Litigation Committee of the ABA Section of Litigation and as Editor of that Committee's publication, The International Litigation Quarterly, as well as Executive Editor of the Section of International Law & Practice's publication, The International Arbitration News.

The following are some examples of international arbitration engagements in which our lawyers have represented or are representing clients. Results obtained depend upon the facts of each case.
  • Secured a favorable award in an ad hoc arbitration in London under the UNCITRAL Rules on behalf of an Ecuadorian engineering company and a Cayman Island oil trading company. The arbitration involved claims by V&E's client against a Russian refinery for breach of an engineering, procurement, and construction contract relating to the production of high-octane, unleaded gasoline and counterclaims for alleged fraud and non-compliance with Russian currency laws.
  • Represented dual nationals in proceedings before the Iran-U.S. Claims Tribunal in the Hague (under modified UNCITRAL Rules) in connection with Iran's expropriation of their interests in a large construction company. Among the public international law issues involved were treaty interpretations, governmental responsibility for actions taken by formerly privately-owned companies, and compensation standards for expropriations.
  • Represented American and English subsidiaries of a French corporation in an AAA international arbitration against four American companies seeking damages due to misrepresentations about the technological capabilities of a next-generation, interferometric sonar system. V&E secured an award in excess of contractual limits.
  • Secured a favorable award in an AAA-administered arbitration involving a dispute over a two million acre hydrocarbon exploration concession located on the eastern slope of the Andes in Peru. V&E obtained abatement of a lawsuit and an order compelling arbitration, and the subsequent three week arbitration proceeding resulted in the three member arbitration panel's rejection of all adverse claims to the hydrocarbon exploration concession and award of the entire interest to V&E's clients.
  • Represented energy companies in arbitration proceedings before the American Arbitration Association/International Center for Dispute Resolution (AAA/ICDR), addressing claims of $9 million in damages asserted by a drilling contractor against an international exploration and production company and involving allegations of breach of contract and defenses of force majeure and contract frustration resulting from the alleged expropriation of interests in certain Nigerian oil producing properties by the Nigerian Oil Minister.
  • Defended non-U.S. state-owned oil company in ad hoc arbitration proceeding with American oil company asserting claims for $600 million in dispute over ownership interests and the determination of rights and obligations under exploration and development agreements with respect to properties located in Peru and Venezuela; settled on very favorable terms to our client.
  • Obtained take-nothing award in the defense of an AAA International arbitration of a $1.3 billion claim against V&E's client arising out of the ownership and operation of an international gas and power trading and marketing company.
  • Successfully defended a major Asian steel company in a Stockholm Chamber of Commerce arbitration filed by a European corporation alleging that the steel company misappropriated technology in connection with a sale made in India.
  • Represented major U.S. software manufacturer in dispute with former Argentina distributor over claimed commissions and money due the manufacturer, which involved both an ICC arbitration initiated by our client and an Argentina lawsuit brought by the former distributor. We prevailed in both matters on jurisdictional issues, resulting in termination of the Argentina proceeding and the presentation of issues to the arbitral tribunal.
  • Represented London and Scandinavian insurers in an arbitration proceeding under the CPR Arbitration Rules for Non-Administered Arbitration of International Disputes involving over $300 million in claims arising out of the Exxon Valdez oil spill.
Employer/Employee Arbitration
The arbitration practice of the firm's Employment Litigation and Labor section has been a significant part of its lawyers' dual litigation and counseling practice for many years. Lawyers in Employment Litigation and Labor have traditionally represented employers in arbitrations conducted pursuant to the terms of collective bargaining agreements between employers and unions, individual employment agreements, and employee benefits plans.

Our employment litigation and labor lawyers have assisted employers in the development and implementation of alternative dispute resolution programs (which typically culminate in arbitration), and regularly arbitrate disputes pursuant to these programs. They have been very successful in obtaining enforcement of agreements to arbitrate against employees who attempt to litigate their disputes in court. Lawyers in the Employment Litigation and Labor section have also represented employers in arbitration proceedings under the Multiemployer Pension Plan Amendments Act (MPPAA), a federal statute regulating employer participation in multiemployer pension plans.

Our lawyers have handled arbitrations throughout the United States, and have tried approximately 200 arbitrations involving numerous employment, labor and employee benefits issues (get more information on V&E's Labor and Employment section).

The following are selected examples of employment issue arbitrations in which our lawyers have represented or are representing clients. Results obtained depend upon the facts of each case.
  • Defeated a challenge on multiple grounds to an employer's right unilaterally to implement a dispute resolution program that required mandatory arbitration of all employment-related disputes. In a unanimous decision, the Texas Supreme Court reversed the denial of the company's motion to compel arbitration of an employee's discrimination claim. The Court held that an employer can require its at-will employees to arbitrate employment disputes and that it need not obtain a signed arbitration agreement from the employees, provided they are given unequivocal notice of the implementation of the program. This issue of contract formation is one of state law, even under the Federal Arbitration Act, and Texas is the first state supreme court to rule on this issue. In Re Halliburton, 80 S.W.3d 566,569 (Tex. 2002).
  • Represented a national insurance company in an arbitration asserting claims for age and disability discrimination, after claimant was terminated for failing to meet performance guidelines under a "minimum standards" program applied to the company's entire field sales force; our client prevailed on all claims.
Mediation
Mediation and ADR skills represent the future of negotiation and dispute resolution. As a founding member of the Center for Policy Resources (CPR) Institute for Dispute Resolution, V&E has pioneered the promotion of mediation as a major dispute resolution technique of the 21st century.

Many V&E trial lawyers are trained to serve as third-party neutrals in mediation. We are particularly proud that several of our lawyers and the head of our Alternate Dispute Resolution Practice Group have been named as Distinguished Neutrals by CPR, and that a member of our London office is rated as one of the top 10 mediators in the United Kingdom.

V&E lawyers regularly participate in mediation as advocate, and have successfully mediated many thousands of disputes.

Notable Activities
Particular instances and results of a lawyer's service as mediator are confidential. Additionally, since mediation is a standard component of litigation practice, a statement of matters we have mediated as advocate necessarily corresponds to all types of cases we handle for our clients as described in each substantive area of practice. Listed below are notable activities and accomplishments of our lawyers in the area of mediation.
  • While serving as Assistant General Counsel for Electric and Hydroelectric Litigation at FERC, one of our Energy Section lawyers participated as lead negotiator in over 300 electric rate proceedings
  • V&E trial lawyers are named to the Environmental, Employment, Banking/Financial Services, and Texas Panels of CPR Distinguished Neutrals
  • A partner in our Administrative and Environmental Section in Washington served as mediator in a large, multi-party Superfund matter in New Jersey
  • The Head of our Alternate Dispute Resolution Practice Group has been appointed to the Tribunal Arbitral du Sport in Lausanne, Switzerland as Mediator of the Court of Arbitration
  • Several V&E partners serve on the Board of Directors of the AA White Dispute Resolution Institute in Houston
  • A V&E lawyer has served since 1994 as pro bono faculty/trainer teaching peer mediation to public and private school students



Prior results do not guarantee a similar outcome.

<< Back to Top

Site Map    Contact Us    Extranet    Disclaimer & Legal Notice     ©1999-2012 Vinson & Elkins LLP
Print Page

Practice Contacts

Guy Stanford Lipe
Tel  +1.713.758.1109
Houston
glipe@velaw.com

View All Practice Contacts


Related Industries and Practices

Publications
Could the Supreme Court’s Enforcement of Arbitration in Concepcion Reverberate in the Securities Litigation Sphere?
10/27/2011
More Publications

Rankings
Euromoney’s 2012 Benchmark Litigation Lists Vinson & Elkins' Appellate and Bankruptcy Practices Among the Top in the U.S., and Ranks V&E's Litigation Practice As "Highly Recommended" in Texas, and “Recommended” in the District of Columbia
More Rankings