Summary
The United States Court of Appeals for the Seventh Circuit denied a petition for rehearing and rehearing en banc in an arbitration dispute involving Joshua Harris, Donita Olds, W6LS, Inc., and Caliber Financial Services, Inc. The court ordered that its March 31, 2026 opinion be amended to clarify that it affirmed on contract-formation grounds, while noting that the prospective-waiver doctrine's application to state statutory rights remains unresolved.
Topics
Practice areas
Questions Presented
- Whether the petition for rehearing and rehearing en banc should be granted.
- Whether the court could affirm the district court's judgment on the contract-formation issue concerning the arbitration and delegation provisions after requesting and receiving supplemental briefing.
Key quotations
“Formation, on the other hand, is a clear prerequisite for delegation and arbitration, and provides a narrower path to resolving this case on the facts before us.” (2)
“And we may generally affirm the district court’s judgment on any ground supported by the record.” (2)
Factual background
The case concerns loan agreements containing arbitration and delegation provisions. The district court ruled on the parties' dispute based solely on prospective waiver, while the Seventh Circuit's amended opinion addressed whether the arbitration and delegation provisions were formed.
Procedural history
The appeal arose from the United States District Court for the Northern District of Illinois, Eastern Division, in case No. 1:23-cv-16429. The district court based its decision solely on prospective waiver; on appeal, the Seventh Circuit requested supplemental briefing concerning contract formation as to the arbitration and delegation provisions of the loan agreements and affirmed on that alternative basis in an amended opinion. The court denied rehearing and rehearing en banc.