Originally from:

Journal of American Arbitration (JAA) - Vol. 2, No. 1

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ARTICLES

Pulte Home Corp. v. Smith: Courts Must Analyze Each
Claim in a Multiclaim Petition for Arbitrability
By Amanda F. Spain

I. OVERVIEW
The role of the courts in arbitration evolves with each new issue that
courts must analyze. The Florida District Court of Appeal for the Second
District recently addressed how the court should deal with preliminary
motions and multiparty, multiclaim suits. Plaintiffs and their minor
children filed a nineteen-count complaint seeking relief for themselves as
well as other unnamed individuals under class certification.1 The
complaint acknowledged that the plaintiffs had entered into contracts
containing arbitration clauses with the defendant, Pulte Home
Corporation (Pulte).2 The plaintiffs alleged, inter alia, that Pulte violated
the state building code requirements causing water intrusion, which
resulted in personal injury through toxic mold and uninhabitable homes.3
The plaintiffs also claimed that Pulte’s arbitration clause was
procedurally and substantially unconscionable and that Pulte’s
presentation of the documents to buyers misled the buyers with regard to
the arbitration clause.4
In count I, the plaintiffs sought relief under strict liability, alleging
Pulte failed to comply with statutory building requirements and that led
to the plaintiffs’ personal injuries and costs associated therefrom.5 In
counts II, III, and IV, the plaintiffs claimed that Pulte specifically
engaged in unfair and deceptive trade practices, thus its arbitration
agreements were null and void as unconscionable.6 These four claims
were addressed on behalf of the potential class.7 The remaining counts