Fahlstrom v. Jones

Plaintiff filed declaratory judgment action as to dispute over alleged sale of his interest in restuarant group to individual Defendant. Court erred in denying motion to compel arbitration. Operating agreement and membership assignment concern same subject matter, so dispute over validity of membership assignment is within scope of arbitration clause in operating agreement. As Plaintiff is challenging validity of membership assignment, and not the existence of arbitration clause in operating agreement, issue is a question for the arbitrator, not the court. (CUNNINGHAM and KARNEZIS, concurring.)