Can a claim of fraud in the inducement of a contract be resolved by the court rather than by the arbitrator?
California, United States of America
The following excerpt is from Pristine Environments Inc. v. Signet Jewelers Ltd., D071394 (Cal. App. 2017):
Although claims of fraud in the inducement of the contract itself are subject to arbitration, where a plaintiff claims that fraud induced entering into the arbitration clause itself, the matter must be resolved by the court rather than by the arbitrator. (See Johnson v. Siegel (2000) 84 Cal.App.4th 1087, 1095.)
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