11th Circuit Vacates Default Judgment For Laborer In Arbitration Dispute

Mealey's (September 13, 2018, 12:59 PM EDT) -- ATLANTA — There is no case law or basis in the Federal Arbitration Act (FAA) to support a district court’s entry of default judgment for an employee based on the employer’s default in the underlying arbitration without “a finding that the sanctioned party acted with subjective bad faith,” an 11th Circuit U.S. Court of Appeals panel ruled Aug. 8, vacating a district court’s award and remanding for further proceedings (Julio Hernandez Hernandez, et al. v. Acosta Tractors Inc., et al., Nos. 17-13057 and 17-13673, 11th Cir., 2018 U.S. App. LEXIS 22068)....