Degidio v. Crazy Horse Saloon and Restaurant, No. 17-1145 (4th Cir. 2018)Annotate this Case
The Fourth Circuit affirmed the district court's denial of Crazy Horse's motion to compel arbitration. In this case, Crazy Horse pursued a merits-based litigation strategy for three years and actively sought to obtain a favorable legal judgment. The court held that Crazy Horse's conduct was at odds with the Federal Arbitration Act's, 9 U.S.C. 1-16, goal of facilitating the expeditious settlement of disputes. The court explained that Crazy Horse did not seek to use arbitration as an efficient alternative to litigation. Rather, Crazy Horse used arbitration as an insurance policy in an attempt to give itself a second opportunity to evade liability.