Operating Agreement – Arbitration Clause

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WI Supreme Court

Case Name: Midwest Neurosciences Associates, LLC, et al. v. Great Lakes Neurosurgical Associates, LLC, et al.

Case No.: 2018 WI 112

Focus: Operating Agreement – Arbitration Clause

This is a review of an unpublished decision of the court of appeals, Midwest Neurosciences Assocs., LLC v. Great Lakes Neurosurgical Assocs., LLC, No. 2016AP601, unpublished slip op. (Wis. Ct. App. Dec. 20, 2017), reversing the Ozaukee County circuit court’s non-final order. The non-final order denied Midwest Neurosciences Associates, LLC (“Midwest”) and Neurosurgery and Endovascular Associates S.C.’s (“NEA”) motion to stay this action and compel arbitration pursuant to the Amended and Restated Operating Agreement (“Operating Agreement”), as well as the circuit court’s granting of Yashdip Pannu, M.D. (“Dr. Pannu”) and Great Lakes Neurosurgical Associates, LLC’s (“Great Lakes”) motion for declaratory judgment seeking a declaration that the Membership Interest Redemption Agreement (“Redemption Agreement”) was a valid contract. The court of appeals remanded to the circuit court with instructions to grant Midwest’s motion to compel arbitration pursuant to the Operating Agreement. We reverse the court of appeals and remand to the circuit court to determine whether the Redemption Agreement is enforceable.

Reversed and Remanded

Concur: ABRAHAMSON, J. concurs.

Dissent: R.G. BRADLEY, J. dissents.

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Derek A Hawkins is trademark corporate counsel for Harley-Davidson. Hawkins oversees the prosecution and maintenance of the Harley-Davidson’s international trademark portfolio in emerging markets.