Appellate Division of the Supreme Court of New York, 1982

In re the Arbitration between Kayfield Construction Corp. & Brompton Service Corp.

In re the Arbitration between Kayfield Construction Corp. & Brompton Service Corp.
Appellate Division of the Supreme Court of New York · Decided March 23, 1982
87 A.D.2d 554; 448 N.Y.S.2d 191; 1982 N.Y. App. Div. LEXIS 15794
In re the Arbitration between Kayfield Construction Corp. & Brompton Service Corp.

Opinion of the Court

— Order of the Supreme Court, New York County (Shorter, J.), entered August 7,1981, denying petitioners’ application to stay arbitration is modified, without costs, on the law, to the extent that arbitration is stayed as to Fidelity and Deposit Company of Maryland, which did not agree to arbitrate, and otherwise affirmed. The fact that Kayfield Construction Corporation may have certain claims against the City of New York does not preclude arbitration between Kayfield and Brompton Service Corporation notwithstanding the fact that the contract contains a provision stating that “[a]ny disputes to which City is a party will not be arbitrated but resolved by their procedures”. A party may not defeat a valid arbitration clause by introducing a third party which is not a party to the contract and has only a tangential connection to the issues to be arbitrated. Concur — Sandler, J. P., Carro, Lupiano, Bloom and Milonas, JJ.

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