Arbitrator Authorized to Order Party to Post Security, N.Y. Federal Judge Rules

NEW YORK — An arbitrator was authorized to order a respondent to post security because the parties agreed to abide by the American Arbitration Association International Dispute Resolution Procedures, which allow arbitrators to “ take whatever interim measures they deem necessary,” a New York federal judge has ruled.

In confirming the interim award, Judge Colleen McMahon of the U.S. District Court for the Southern District of New York further held that under 2nd Circuit case law, such interim security issues are reviewable prior to a final arbitration award.

CE International has been engaged in an ongoing arbitration in New York …