Law, Business, and Society 9th Edition by Tony McAdams

Exercise 43

Landis was employed by FINOVA. FINOVA later concluded that Landis had misrepresented certain elements of his experience that had been important in the decision to hire him. FINOVA then dismissed Landis and declared the employment contract void. That contract contained a clause requiring all employment-related disputes to be decided by arbitration. Landis sued FINOVA claiming breach of contract and defamation. FINOVA moved to compel arbitration. Landis argued that the arbitration clause was unenforceable because FINOVA had declared the agreement void. Rule on FINOVA's motion to compel arbitration. Explain. See Landis v. FINOVA, 2000 U.S. Dist. LEXIS 5835 (S.D.N.Y. 2000).