Case Name: In the Matter of the Application of Cheney Brothers, Respondent, for an Order Directing Joroco Dresses, Inc., Appellant, to Proceed with an Arbitration and to Nominate One of the Board of Arbitration
Court: New York Supreme Court, Appellate Division
Jurisdiction: New York
Decision Date: 1926-12-31
Citations: 218 A.D. 652
Docket Number: 
Parties: In the Matter of the Application of Cheney Brothers, Respondent, for an Order Directing Joroco Dresses, Inc., Appellant, to Proceed with an Arbitration and to Nominate One of the Board of Arbitration.
Judges: 
Reporter: Appellate Division Reports
Volume: 218
Pages: 652–653

Head Matter:
In the Matter of the Application of Cheney Brothers, Respondent, for an Order Directing Joroco Dresses, Inc., Appellant, to Proceed with an Arbitration and to Nominate One of the Board of Arbitration.
First Department,
December 31, 1926.
Max D. Steuer of counsel [Maurice Deiches with him on the brief; Deiches, Goldwater & Flynn, attorneys], for the appellant.
Robert P. Levis, for the respondent.

Opinion:
Per Curiam.
The order should be reversed, with ten dollars costs and disbursements, and the motion to compel arbitration denied, with ten dollars costs, on the ground that the question as to whether or not the contract was fraudulently induced raises an issue of fact which must be tried before the right to arbitration under the contract may be enforced. If the contract was voided by fraud, the arbitration provision therein falls.
Present — Clarke, P. J., Dowling, Merrell, McAvoy and Martin, JJ.; Merrell and Martin, JJ., dissent.
Order reversed, with ten dollars costs and disbursements, and motion denied, with ten dollars costs.