AR STATESupreme Court of Arkansas
2015

Bigge Crane & Rigging Co. v. Entergy Arkansas, Inc.

2015 Ark. 58Supreme Court of Arkansas • Decided 2015Enforced

HOLDING

Bigge Crane & Rigging, a subcontractor to Siemens, tried to force arbitration of tort claims against Entergy using an arbitration clause from a contract between Entergy and Siemens—a contract Bigge never signed. Arkansas's Supreme Court ruled that subcontractors cannot use arbitration clauses from contracts they're not party to, even if they benefit from the main contract. This means subcontractors need their own arbitration agreements to compel arbitration; they can't piggyback on the prime contractor's deal.

KEY FINDINGS

Arbitration

Get your own arbitration clause in writing with every party you contract with—don't rely on arbitration clauses in contracts between other parties, even if you're doing work under those contracts.

Dispute Resolution

Being an 'incidental beneficiary' of a prime contract gives you no right to use that contract's dispute resolution terms; you need direct contractual language.

FULL COURT OPINION