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Matter of Aaacon Auto Transport, Inc.

Court of Appeals of the State of New York
Mar 29, 1977
41 N.Y.2d 951 (N.Y. 1977)

Opinion

Argued February 16, 1977

Decided March 29, 1977

Appeal from the Appellate Division of the Supreme Court in the First Judicial Department, MARTIN B. STECHER, J.

Walter Williamson for appellants.

Ralph J. Zola for respondent.


MEMORANDUM. The order of the Appellate Division should be affirmed.

The appellants were served by certified mail with a properly drawn notice of intention to arbitrate by the respondent and they voiced no objection. Thereafter the respondent moved, by order to show cause, to compel arbitration and appellants cross-moved to dismiss on forum non conveniens grounds (CPLR 327).

Pursuant to CPLR 7503 (subd [c]) appellants were "precluded from objecting that a valid agreement was not made or has not been complied with" by their failure to move to stay the proceedings within 20 days of their receipt of the notice of intention to arbitrate (see Matter of Jonathan Logan, Inc. [Stillwater Worsted Mills], 31 A.D.2d 208, affd 24 N.Y.2d 898). They therefore are prohibited at this juncture from seeking to dismiss the proceeding to compel arbitration on the ground of the infirmity of the agreement to arbitrate.

Chief Judge BREITEL and Judges JASEN, GABRIELLI, JONES, WACHTLER, FUCHSBERG and COOKE concur.

Order affirmed, without costs, in a memorandum.


Summaries of

Matter of Aaacon Auto Transport, Inc.

Court of Appeals of the State of New York
Mar 29, 1977
41 N.Y.2d 951 (N.Y. 1977)
Case details for

Matter of Aaacon Auto Transport, Inc.

Case Details

Full title:In the Matter of the Arbitration between AAACON AUTO TRANSPORT, INC.…

Court:Court of Appeals of the State of New York

Date published: Mar 29, 1977

Citations

41 N.Y.2d 951 (N.Y. 1977)
394 N.Y.S.2d 635
363 N.E.2d 359

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