The trial court compelled arbitration but concluded that the situs provision of the agreement was unreasonable. The trial court, therefore, ordered that the arbitration take place in South Dakota and apply New York law. Bruce Terminix Cos., Inc. and Terminix Int'l Co., v. As the contract between these parties clearly involves interstate commerce, we turn to the FAA for guidance in determining whether the circuit court's order to compel arbitration is appealable. If the only issue is whether arbitration is required, the proceeding is independent and the party opposing arbitration may immediately appeal the order compelling arbitration.
Orders denying arbitration in embedded proceedings are immediately appealable.
See also Com-Tech Assocs. Orders compelling arbitration in embedded proceedings are not immediately appealable. In effect, the pro- arbitration tilt of the statute requires that, with respect to embedded actions, the party opposing arbitration must bear the initial consequence of an erroneous district court decision requiring arbitration. DWU sued on the contract, alleging breach of warranty, and HPG moved to dismiss the action. The trial court concluded the arbitration clause of the warranty was applicable, but found the situs provision unconscionable and, accordingly, amended the arbitration agreement to require the arbitration to take place in South Dakota.