Calif. Federal Judge Remands Case, Says Issue of Whether Arbitrators Exceeded Powers is for State Court to Decide

SAN JOSE, Calif. — A California federal judge has remanded a dispute involving an arbitration award issued in a royalties dispute, explaining that removal was improper because federal issues do not have to be decided to resolve the issue of whether the arbitrators exceeded their powers.

On Sept. 9, Judge Edward J. Davila of the U.S. District Court for the Northern District of California concluded that the issue of whether the arbitrators exceeded their powers in awarding royalties is for the state court to resolve.

In 1996, Amkor Technology Inc. and Tessera Inc. entered into a licensing agreement that granted …