Unanimous US Supreme Court arbitration decision

After a federal district court (exercising federal claim jurisdiction) compelled arbitration and stayed an employee’s discrimination claim, the arbitrator issued an award in favor of the employer.

The employer moved to confirm, and the employee moved to vacate.

The issue was whether the district court retained jurisdiction without a showing that either motion presented a federal question or satisfied the requirements for diversity jurisdiction.

A unanimous US Supreme Court said “Yes.” Jules v. Andre Balazs Properties (US Supreme Ct 05/14/2026) [PDF].

Nothing in the Federal Arbitration eliminated the district court’s jurisdiction while the parties arbitrated.  When the parties returned to court after arbitration with §9 and §10 motions, the court had the same jurisdiction to decide the case, and thus jurisdiction to decide those motions, that it possessed from the start.