International Bar Association

New arbitration rule in New York. Newly signed legislation in New York modifies CPLR section 7502(c), which governs applications made to New York state courts for provisional remedies in connection with arbitrations. Under modified CPLR 7502(c), New York state courts now have the authority to issue orders of attachment or for preliminary injunctions in connection with an arbitration that is pending or that is to be commenced, whether inside or outside New York, and whether or not the arbitration is subject to the United Nations Convention on the Recognition and Enforcement of Foreign Arbitral Awards. Old section 7502(c) did not provide and had been interpreted not to provide authority for provisional remedies in connection with arbitrations occurring outside New York; as such, New York state courts in the past could issue provisional remedies only in the aid of purely domestic arbitrations. The new rule, which is effective immediately, brings New York in line with the laws of other states and nations.