Wolfson v. Allianz Life Insurance Company of North America

Filing 45

ORDER re 42 Report and Recommendation: (1) Wolfson's Motion to Vacate Arbitration Award 2 is DENIED. (2) Allianz's Application to Confirm Arbitration Award 19 is GRANTED. (3) Judgment is entered in favor of Allianz in the amount of $542,807.25, plus pre-award interest at a rate of 6% per year from August 23, 2013, through July 25, 2014, as ordered by the final arbitration award, and post-award, pre-judgment interest at a rate of 10% per year from July 26, 2014, until judgment is entered in this case. (Written Opinion) Signed by Judge Joan N. Ericksen on May 11, 2015. (CBC)

UNITED STATES DISTRICT COURT
DISTRICT OF MINNESOTA
Neil Brandon Wolfson,
Plaintiff,
v.

Civil No. 14-4469 (JNE/BRT)
ORDER

Allianz Life Insurance Company of North
America,
Defendant.
In a Report and Recommendation dated March 26, 2015, the Honorable Becky R.
Thorson, United States Magistrate Judge, recommended that Neil Brandon Wolfson’s
Motion to Vacate Arbitration Award be denied, that Allianz Life Insurance Company of
North America’s Application to Confirm Arbitration Award be granted, and that
judgment be entered in Allianz’s favor. Wolfson objected, and Allianz responded. Based
on a de novo review of the record, the Court overrules the objection and accepts the
recommended disposition. See 28 U.S.C. § 636(b)(1) (2012).
In his objection, Wolfson first argued that the magistrate judge erred by denying
him the opportunity to submit briefing on the issue of whether he should be allowed to
engage in limited discovery to support his contention that the arbitration award was
procured by fraud. The magistrate judge denied his oral motion to file supplemental
briefing in February 2015. Wolfson did not object within the time allowed. See Fed. R.
Civ. P. 72(a); D. Minn. LR 72.2(a)(1). The Court rejects his first argument.
Next, Wolfson asserted that the magistrate judge erred by concluding that he had
failed to establish the arbitration award was procured by fraud. For the reasons set forth
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in the Report and Recommendation, the Court concludes that Wolfson failed to
demonstrate the arbitration award was procured by fraud.
Finally, Wolfson argued that the magistrate judge erred by failing to consider his
claim that the arbitration award manifestly disregarded the law. He acknowledged that
the Eighth Circuit does not recognize manifest disregard for the law as a ground to vacate
an arbitration award. He cited cases from other circuits to support his argument. The
Court rejects it. See Air Line Pilots Ass’n Int’l v. Trans States Airlines, LLC, 638 F.3d
572, 578 (8th Cir. 2011) (stating Hall Street Assocs., L.L.C. v. Mattel, Inc., 552 U.S. 576
(2008), “eliminated judicially created vacatur standards under the [Federal Arbitration
Act], including manifest disregard for the law”); Med. Shoppe Int’l, Inc. v. Turner Invs.,
Inc., 614 F.3d 485, 489 (8th Cir. 2010).
In short, the Court overrules Wolfson’s objection and accepts the recommended
disposition [Docket No. 42]. Therefore, IT IS ORDERED THAT:
1.

Wolfson’s Motion to Vacate Arbitration Award [Docket No. 2] is
DENIED.

2.

Allianz’s Application to Confirm Arbitration Award [Docket No. 19] is
GRANTED.

3.

Judgment is entered in favor of Allianz in the amount of $542,807.25, plus
pre-award interest at a rate of 6% per year from August 23, 2013, through
July 25, 2014, as ordered by the final arbitration award, and post-award,
pre-judgment interest at a rate of 10% per year from July 26, 2014, until
judgment is entered in this case.

LET JUDGMENT BE ENTERED ACCORDINGLY.
Dated: May 11, 2015
s/Joan N. Ericksen
JOAN N. ERICKSEN
United States District Judge
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