Earlier today, the New Jersey Supreme Court held that an arbitration clause between an attorney and client was not enforceable because the attorney had failed to explain the advantages and disadvantages of arbitration to the client. The court reasoned that attorneys, as fiduciaries, have a duty to explain all material terms in an agreement to a client so that the client can make informed decisions. The court also found that the FAA did not preempt the court’s ruling because the special disclosure requirement does not single out arbitration and applies to all material terms in a contract involving a fiduciary relationship. The case is Delaney v. Dickey, No. A-30-19 (N.J. Dec. 21, 2020) (click here for a copy of the decision).