Current Dimensions of the Federal Arbitration Act in Nebraska

The purpose of this Commentary is to describe the current dimensions of the Federal Arbitration Act in Nebraska. The Nebraska Supreme Court has held categorically that the provisions of the Nebraska Uniform Arbitration Act, and "clauses in contracts providing for binding arbitration of future disputes" violate the "open courts" provisions of the Nebraska Constitution. Regardless of the success or failure of a proposed amendment of the Nebraska Constitution, the Federal Arbitration Act will be an important part of Nebraska jurisprudence. The Federal Arbitration Act is federal substantive law, which supersedes Nebraska law with respect to arbitrability, and is enforceable in Nebraska courts.

Indeed, the Federal Arbitration Act does not confer federal question jurisdiction for federal courts, so most of its enforcement will be in state courts. Recent decisions of the Supreme Court of the United States make clear that the Federal Arbitration Act has broad dimensions. The United States Supreme Court has determined that the Federal Arbitration Act "embodies Congress' intent to provide for the enforcement of arbitration agreements within the full reach of the Commerce Clause," defined the respective roles of arbitrators and courts, and set forth rules with respect to choice-of-state-law issues.