Jay-Z and Arbitration

Jay-Z persuaded New York Judge Saliann Scarpulla to stay an arbitration because of a lack of black arbitrators. Jay-Z argued that his company's arbitration agreement with Iconix Brand Group violated New York's public policy against discrimination.

Jay-Z (Shawn C. Carter), through his lawyers, argued "When Mr. Carter began reviewing arbitrators on the American Arbitration Association’s Search Platform ... he could not identify a single African-American arbitrator on the 'Large and Complex Cases' roster, composed of hundreds of arbitrators, that had the background and experience to preside over the Arbitration. After repeated requests to the AAA for diverse arbitrators with expertise in complex commercial law, the AAA was able to provide only three neutrals it identified as African-American: two men — one of whom was a partner at the law firm representing Iconix in this arbitration and thus had a glaringly obvious conflict of interest — and one woman."

However, the transcript suggests Judge Scarpulla's skepticism toward Jay-Z's argument and that she only granted a temporary stay of arbitration until the main judge on the case (Judge Barry Ostrager) hears the merits of the case.

Hat tip to Mark Kantor